EVRAZ signed two contracts to supply rails to Brazil. For the first time the company will ship to Latin America rails produced at its West-Siberian Steel Plant (EVRAZ ZSMK).
EVRAZ ZSMK will ship to TIISA Construction Company four thousand tonnes of 60E1-compliant rails. Head-hardened, with improved wear- and contact fatigue resistance, these rails will be laid into a 30-kilometers' track to connect the largest Latin American pulp mill to the network of Brazil's key railway operator, ALL (Latin American Logistics).
The other contract, for three hundred tonnes of head-hardened 60E2 rails, was signed with BR RAILPARTS. This lot will be utilised to fit out the turnout switches in a new railway constructed by the Brazilian Government.
EVRAZ scheduled first rail shipments to its Brazilian customers for February, 2015. In the end of January, the representatives of Latin American companies visited EVRAZ ZSMK to audit production and verify product quality.
"EVRAZ ZSMK Rail Mill follows the best international practices. We inspected the finished rails and verified compliance with the declared specifications, – noted Joubert Lansoni da Silva, advisor to ALL. – We intend to continue our cooperation with EVRAZ. Railway construction is growing rapidly in Latin America but there is no local manufacturer in the region. EVRAZ is a great choice for us: the company is able to offer the needed volumes and products at a reasonable price".
"It is our strategy to extend the geography of EVRAZ railway products, – says Ilya Shirokobrod, EVRAZ Vice President, Sales. – Entering the Brazilian market is an unquestioned success and we intend to build on that to gain access to other markets in Latin America. The agreement we signed with a top Brazilian trading company, Cisa Trading, was a major step forward to reinforce EVRAZ's standing in the region. Cisa Trading will support our sales in Latin America and provide logistics and technical support to customers."
EVRAZ has an annual rail production capacity of two million tonnes. The company is the leader in Russia, CIS and North America and is currently working on expanding its exports. Apart from Latin America, the Company is eyeing the markets of the Middle East, Southeast Asia and Europe.
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