Service Centre Gelsenkirchen GmbH currently operates one slitter and one cut-to-length line and the output is largely destined for the automotive industry.
The second slitting line, together with the associated expansion of the Gelsenkirchen site, will cost 8.6 million euros.
The new line will have a capacity of 140,000 tonnes per annum, almost double the site's existing slitting capacity. The new slitter will be able to process coil in thicknesses of 0.4-4mm and widths up to 1,650mm, with a maximum yield strength of 1400N/mm2.
It is due to come onstream in early 2012. Service Centre Gelsenkirchen General Manager Jochen Hoefges, said: "Our strategy toward the automotive sector is to increase the volume and technical innovation of the products we offer. The Gelsenkirchen investment is an example of this ambition and will further strengthen Tata Steel's downstream capability to serve this specific sector."
"The new slitting line will raise the service centre's capacity as well as its product portfolio, establishing an Automotive Centre of Excellence. The line is designed to process Advanced and Ultra High Strength Steel (AHSS and UHSS) grades, matching the growing demand for more advanced automotive products," he added.
Service Center Gelsenkirchen GmbH was established in 2000 and is part of Tata Steel's European distribution network.
About 90 per cent of its throughput serves the automotive industry. The facility's capacity is 225,000 tonnes per annum at present, including 155,000 tonnes per annum of slitting capacity and 70,000 tonnes per annum of cut-to-length capacity.