Southern Africa Stainless Steel Development Association and Trade and Investment KwaZulu-Natal held a seminar at the Protea Edward hotel in Durban - 5 Sept 2013

1. A SOUTH AFRICAN PERSPECTIVEA SOUTH AFRICAN PERSPECTIVE
SASSDA-KZN/TIKZN REGINAL MEMBER
Information Sharing Breakfast Seminar

2. THE HISTORY OF STAINLESS STEELTHE HISTORY OF STAINLESS STEEL
WHO? WHAT? WHEN?

3. THE HISTORY OF STAINLESS STEELTHE HISTORY OF STAINLESS STEEL
18th
century scientists make a succession of discoveries critical to the invention
of stainless steels.
1751 – Axel Frederick Cronstedt,
a Swedish scientist discovers nickel
1778 – Karl Wilhelm Scheelen,
also Swedish discovers molybdenum
1797 – Nicolas Louis Vauquelin,
a Frenchman discovers chromium

4. THE HISTORY OF STAINLESS STEELTHE HISTORY OF STAINLESS STEEL
AUSTENITIC GRADESAUSTENITIC GRADES
* 1912 – Edwin Maurer and Beno Strauss of Germany were granted the patent
to produce chromium-nickel stainless steels.
* Early 1950’s (Korean War) – commercial development of the chromium-nickel-
manganese grades.

5. THE HISTORY OF STAINLESS STEELTHE HISTORY OF STAINLESS STEEL
MARTENSITIC GRADESMARTENSITIC GRADES
1913 – In England the first commercial heat of martensitic stainless
steel is cast in Sheffield by Harry Bearley.
The term ‘stainless’ steel is coined by Bearley’s colleague – Stuart.
These martensitic stainless steels are soon used in the production of
knives whose blades remain sharp and rust free.

6. THE HISTORY OF STAINLESS STEELTHE HISTORY OF STAINLESS STEEL
FERRITIC GRADESFERRITIC GRADES
1915 – Frederick M Becket and Christian Dantsizen of America develop
another type of stainless steel, namely ferritics.

7. THE HISTORY OF STAINLESS STEELTHE HISTORY OF STAINLESS STEEL
DUPLEX GRADESDUPLEX GRADES
1930 – Avesta in Sweden makes the first cast of what are now known as
duplex stainless steels.
Improvements in steel making technology have resulted in more
widespread use of duplex stainless steels over the last 30 years.

8. THE STAINLESS STEEL FAMILY TREETHE STAINLESS STEEL FAMILY TREE

9. STAINLESS STEELS APPLICATIONSSTAINLESS STEELS APPLICATIONS

10. STAINLESS STEEL IN SOUTH AFRICASTAINLESS STEEL IN SOUTH AFRICA
South Africa has 75% of the world’s reserves of chromium.
South Africa has the capacity to satisfy 50% of the world’s demand for
ferrochrome (of which 75% is used for the manufacture of stainless steel).
Production of ferrochrome started by RMB Alloys at Middelburg in 1964.
In 1965 Southern Cross Steel was built at the same site to create a unique
and totally integrated speciality steel manufacturing unit.
The first stainless steel ingot was cast in 1966.
A major expansion of the mill, now known as Middelburg Steel & Alloys (or
MS&A), took place in the early 1980’s with the new plant producing thin
gauge cold rolled stainless steel.
Further expansion commenced in the mid 1990’s, following the acquisition
of the stainless steel division of Middelburg Steel & Alloys by Columbus JV–
including a new steel plant, an upgraded hot mill, additional cold rolling
(including BA finish) capacity and various finishing lines.
Following acquisition of a majority share of Columbus JV by Acerinox in
2002, cold rolled capacity was expanded further.

11. 3CR123CR12
(A South African success story)(A South African success story)
3CR12 was developed in the late 1970’s/early 1980’s by Middelburg Steel &
Alloys to provide a weldable, low cost utility ferritic stainless steel, to fill
the gap between carbon steels and traditional stainless steels.
3CR12 contains 11/12% Cr and is weldable up to thicknesses of 30mm
(compared to, typically, a maximum of 3mm for conventional ferritic
stainless steels). Typical areas of use include:
- mining industry (especially “corrosion : abrasion” applications);
- non-aesthetic architectural/structural applications;
- transport industry (coal wagons, bus components, rail coaches);
- sugar industry (replacing T430 ferritic stainless steel due to weldability
problems);
- and many more.

12. TYPICAL 3CR12 APPLICATIONS:TYPICAL 3CR12 APPLICATIONS:
COAL WAGONSCOAL WAGONS
First prototype installed on the Richards Bay coal line in 1984/1985
Previous material of construction lasted 8/12 years
2012 inspection of initial prototype 3CR12 wagons
- average material loss: 10µ/yr
- no localised corrosion (even under areas of coal build-up)
Anticipated life of 3CR12 wagons: 65 years
Used widely in South Africa, Australia, China, the USA and various European
countries
Source: Columbus Stainless

13. TYPICAL 3CR12 APPLICATIONS:TYPICAL 3CR12 APPLICATIONS:
ELECTRIFICATION MASTSELECTRIFICATION MASTS
Installed in 1982 on the Port Elizabeth sea front
2012 inspection
- uniform discoloura-
tion (with time)
- no measurable thickness
loss
- no evidence of pitting
Source: Columbus Stainless

14. STAINLESS STEEL – THE CURRENT STATUSSTAINLESS STEEL – THE CURRENT STATUS
A GLOBAL PERSEPECTIVEA GLOBAL PERSEPECTIVE

15. (Source: ISSF)
COMPOUND ANNUAL GROWTHCOMPOUND ANNUAL GROWTH

16. (Source: ISSF)
REGIONAL SHARE OF STAINLESS STEELREGIONAL SHARE OF STAINLESS STEEL
PRODUCTIONPRODUCTION

17. (Source: ISSF)
STAINLESS CRUDE STEEL PRODUCTIONSTAINLESS CRUDE STEEL PRODUCTION
BY GRADE CATEGORYBY GRADE CATEGORY

18. STAINLESS STEEL – THE CURRENT STATUSSTAINLESS STEEL – THE CURRENT STATUS
A SOUTH AFRICAN PERSEPECTIVEA SOUTH AFRICAN PERSEPECTIVE

19. APPARENT DOMESTIC CONSUMPTIONAPPARENT DOMESTIC CONSUMPTION
1991 - 20121991 - 2012
Tons

20. IMPORTS OF STAINLESS STEELIMPORTS OF STAINLESS STEEL
CONSUMERWARE: 2008-2012CONSUMERWARE: 2008-2012

21. STAINLESS STEEL – THE NEXT 100 YEARSSTAINLESS STEEL – THE NEXT 100 YEARS
GLOBALLY
- continued significant levels of growth overall
- continued development of duplex grades, for both technical and cost
reasons
- possible continuation of CrMn (200 series), and certain ferritic grades
substitution for CrNi (300 series) grades
- growth in ‘structural’ usage – durability/design life/ sustainability;
impact strength (seismic events); fire resistance; strength characteristics
(duplex grades)
- role of China (and India)?

22. STAINLESS STEEL – THE NEXT 100 YEARSSTAINLESS STEEL – THE NEXT 100 YEARS
SOUTH AFRICA
- continued growth
o GDP per capita
o industrialisation
o infrastructure development
- government policy
o beneficiated exports
o local industry support (eg. catalytic convertors)
- import question
o government policy
o competitiveness of local manufacturers
- sub-Saharan Africa opportunities

23. THANK YOUTHANK YOU