However, few people understand the actual energy requirements of the various methods of casting steel. It's no secret that melting steel requires a lot of energy. Fortunately, this market is relatively stable thanks to proper recycling programs and the “circular model” of steel production. With market demands, shipping limitations, and inefficiencies in global recycling systems, the most a steel producer can do to control this cost is to develop strong relationships with their suppliers that help ensure regular, timely and affordable deliveries. However, it is not a cost under the control of the manufacturers. This is certainly not insignificant, and getting good quality scrap at a low price helps with margins. In general, this cost represents about 5% to 6% of the value of gross sales. However, given the high cost of shipping, this margin is not as lucrative as it appears from an outside perspective. Since rebar steel sells for more than $ 1000 per ton in the same market there is plenty of room for other costs and profits. With industrial electric arc furnace loads ranging from 40 to 150 mt, that means a cost of $ 16,000 to $ 67,500 per load. In the US, steel scrap ranges from $ 160-280 ($ 400-450) per ton at the time of writing. ![]() However, it is still a large part of the cost of reusing steel. Steel scrap abounds after more than a century of industrial-scale steel production. Let's examine these costs, how the industry is managing them, and how these facets can be improved to affect profits and production. ![]() 003 man-hours per tonne on average), that they must strictly consider on a regular basis: scrap, energy and electrodes. There are three main operating costs in recycling modern steel using electric arc furnaces, in addition to labor (which only amounts to about.
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