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Corus Relighting No4 Blast Furnance

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Corus re lighting blast furnance

10 months since it was originally mothballed, today a decision has been made to relight no4 Blast Furnace at Port Talbots giant steel works.

This is a big decision, the costs involved in shutting down and restarting equipment on this scale are huge, Corus / Tata must have belief / data to suggest this recovery is more than a dead cat bounce.

This follows news of production restarting at the Hot Strip mill in Llanwern and Blast Furnace 6 in Holland.

Steel production is often a very good indicator of global economic conditions, this can only mean that demand for goods is increasing, be it cars , fridges , washing machines , construction.

Steel giant Corus is to restart the No 4 blast furnace at its Port Talbot works in south Wales, 10 months after it was mothballed amid the recession.

The company had already announced that it is restarting production at the Llanwern strip mill at nearby Newport, because of improving business.

One expert called it a sign of growing confidence in manufacturing.

The Port Talbot furnace was shut down last December, alongside one in Scunthorpe and in the Netherlands.

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Corus re lighting blast furnance

10 months since it was originally mothballed, today a decision has been made to relight no4 Blast Furnace at Port Talbots giant steel works.

This is a big decision, the costs involved in shutting down and restarting equipment on this scale are huge, Corus / Tata must have belief / data to suggest this recovery is more than a dead cat bounce.

This follows news of production restarting at the Hot Strip mill in Llanwern and Blast Furnace 6 in Holland.

Steel production is often a very good indicator of global economic conditions, this can only mean that demand for goods is increasing, be it cars , fridges , washing machines , construction.

Excellent news!!!!! I was driving past Port Talbot today, so I'll raise a toast now I am back off the M4.

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Corus re lighting blast furnance

Steel production is often a very good indicator of global economic conditions, this can only mean that demand for goods is increasing, be it cars , fridges , washing machines , construction.

what happens when the brought forward demand re cash for clunkers ceases

Edited by lowrentyieldmakessense(honest!)

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The shutdowns were part of a 30% cut in production planned over the following six months due to weakening demand in Europe.

Initially, the Port Talbot shutdown had been scheduled for two months but that was extended at the recession continued to hit orders.

Corus, which is owned by India's Tata Steel, had blamed the global economic downturn for the cuts.

'Little green shoots'

Dr Jonathan Deacon, of the University of Wales Newport Business School, said the Port Talbot furnace restart was an indication that confidence was returning to manufacturing, particularly in Europe.

He told Radio Wales: "I didn't expect this so soon. I didn't think we would see some of these plants returning to production at all, let alone coming out of mothballs.

"It reflects some of the little green shoots that people talk about happening elsewhere in the economy.

"Sadly I don't think they are necessarily in the UK economy.

"They are slightly further afield, in Germany in particular.

"Those markets are requiring things being made. Those things are made out of steel."

Dr Deacon said he thought Corus's decision to prepare its Port Talbot and Llanwern plants for increased production was the firm having "a little bit of punt" on the confidence returning to the market.

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Steel production is often a very good indicator of global economic conditions, this can only mean that demand for goods is increasing, be it cars , fridges , washing machines , construction.

The drums of war! Tanks , jet fighters , guns & bombs .

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Probably helped out by the European Investment Bank

http://www.eib.org/about/index.htm

----

Steel for Jags scheme or sommit???

Losses at Jaguar Land Rover send parent Tata into red

By Nick Clark

Tuesday, 1 September 2009

Jaguar Land Rover (JLR) suffered from the continued slump in the automotive industry in the three months to the end of June, which drove parent company Tata Motors into a loss for the quarter. Yet the group is confident that with new funding and aggressive cost-cutting, it will be in a good position when the market returns to growth.

Tata, which bought JLR from Ford last year in a deal worth $2.3bn (£1.4bn), swung to a 3.2bn rupee loss (£41.6m) in its first financial quarter after posting net profits of 7.2bn rupees in the corresponding period in 2008.

The company – which said the figures were not strictly comparable as JLR's operations were only included for June last year – said JLR made a £62m loss for the quarter in 2009.

Sales at the subsidiary sank 52 per cent on a year ago, prompting Tata to blame "the continued adverse global automotive market conditions have resulted in an overall reduction in Jaguar Land Rover volumes during the quarter".

The business has taken steps to offset the level of stocking to bring it into line with retail sales. "The business is aggressively implementing cost-reduction initiatives to improve its profitability on a sustainable basis," Tata said. This included cutting 2,200 jobs, which reduced the workforce to 14,500, and securing a £340m loan from the European Investment Bank. This came as a relief to the company as it means JLR does not have to ask the British Government for loan guarantees.

Ravi Kant, vice-chairman of Tata, which is the largest vehicle company in India, said: "When volumes are down it is a challenge," before adding: "I have no doubt that JLR will be a very profitable company when the market starts to revive."

The group is banking on the success of its new Jaguar XJ, which launched in July and will go on sale next year. The "important new model" replaces an earlier XJ which was taken out of production in March.

JLR has opened its first showroom in India this year and also launched upgraded Range Rover, Range Rover Sport and Discovery 4 models, which will go on sale before the end of 2009.

http://www.independent.co.uk/news/business...ed-1779963.html

Also in Holland apparently Tata got a government subsidy early this year....

Corus’s Government-funded work reduction scheme is part of a $7.6 billion package announced last week to boost the Dutch economy. If the scheme is approved, Corus workers in the Netherlands would be paid 70% of their salaries through unemployment benefits while a further 30% would be paid by the firm for a period of six weeks, according to Dutch news agency ANP.

http://www.environmental-expert.com/result...&codi=40665

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cue NuLabour party election broadcast, cut to busy steelworks furnace, dub in Take That's Relight My Fire and voiceover "We're putting Britain back to work, the steel factories + mills are re-opening, in the City..." cut to serious looking men and women in business suits stepping off trains and buses with large bags and briefcases, folders piled high under their arms, fade Take That, go to cue music Working 9 to 5 sung enthusiastically by a young Dolly Parton...",,,the City is working again, more carefully and more rigorously than ever before, the powerhouse of Britain's economy has been fixed, and this fix..." cut to shots of Tokyo, Wall Street, Frankfurt...cue Superman theme..."led by Gordon Brown, has saved the world...'s banking and economic systems. Only one man has consistenty lied i mean led Britain into prosperity and out of the darkness back to prosperity once more..." cue music Land of Hope & Glory..."and that man is..." cue and fade up Queen, Flash Gordon theme...dissolve in lopsided grin smiling image of definitely not on medication one Gordon Brown...cue maximise volume Flash Gordon theme chorus...fade to Labour rose and slogan Labour, because we work for Britain.

now wash your hands

Edited by loginandtonic

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My cousin runs a factory employing around sixty people which uses heavy - gauge steel.

He made eight people redundant yesterday and expects to lose the same number again over the next six months.

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Of course, ignoring all your stupid suggestions, it could be because the trashing of the value of the £ makes it cheaper to make steel in the UK than in other european countries.

They don't think the UK economy is recovering, they think the £ is failing.

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Corus re lighting blast furnance

10 months since it was originally mothballed, today a decision has been made to relight no4 Blast Furnace at Port Talbots giant steel works.

This is a big decision, the costs involved in shutting down and restarting equipment on this scale are huge, Corus / Tata must have belief / data to suggest this recovery is more than a dead cat bounce.

This follows news of production restarting at the Hot Strip mill in Llanwern and Blast Furnace 6 in Holland.

Steel production is often a very good indicator of global economic conditions, this can only mean that demand for goods is increasing, be it cars , fridges , washing machines , construction.

I have just thought of something, could governments stimulate a very large consumer item that requires lots of steel and other material. Lets say they offer a cash incentive to buy it and virtually every government in the World did this including countries like China would it not be possible to increase the demand for commodities? Not only would it drive GDP figures up for the period the offer was made it would also drive the cost of commodities helping to fight the rampant deflation.

If only they had thought of something like that back in the March G20, if they had accompanied it with a World wide green shoots propaganda campaign they may have created the condition for this to be successful in causing a short term uptick in the World economy, this would give the platform to build on confidence further providing they can continue to hide the carnage in the rest of the economy.

It would have been a sh!t or bust effort but given how bleak it was back in March it would have be worth a try at least. ;)

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Yep demand is definitely increasing however we don't know if it is real market demand or funny money stimulus demand.

China is an importer for the first time in many years.

Edited by cells

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