The market expects the company to implement some test volumes for now

Algerian steelmaker Tosyali Algerie, a subsidiary of Turkey’s Tosyali Holding, has started production of hot rolled coils (HRC) at its recently commissioned 4 million tonnes per annum hot strip mill. SteelOrbis reports, citing market sources.

In the near future, the company is expected to focus on product quality and sell some test volumes. Commercial sales may start in a few months, with market sources suggesting that it will be around February deliveries.

Tosyal Algerie is expected to initially focus on gaining a foothold in the Algerian domestic market, given the lack of local supply. As for exports, the company is likely to focus on cooperation with European customers, as the country has neither quotas nor trade restrictions in the EU. Here, it is likely to compete with Asian suppliers due to delivery times. In addition, new volumes of HRC from Algeria will put pressure on Turkey.

Tosyali Algerie plans to complete the fourth phase of its capacity expansion project by 2025. The company intended to add a new direct reduced iron plant, an electric arc furnace, hot and cold rolling mills, and a galvanizing mill to its site in the Bethia industrial zone (western Algeria).