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NORTH AMERICAN INDUSTRY GROUPS SET SIGHTS ON TAILORED-STEEL PRODUCTS

DETROIT, MI, February 15, 2006 - In its continuing quest to provide materials and processes that help automakers produce safe, affordable, lightweight and environmentally efficient vehicles, the manufacturers of tailored steel products (such as laser-welded and tailored blanks and tubes) are joining with the North American steel industry to focus on expanding the applications of tailored steel products.

Globally, the market for tailored blanks has grown from about 120 million in 2001 to nearly 250 million in 2005.  With new and innovative steels, and forming and welding processes, vehicle manufacturers are increasingly looking at using tailored steel products. "Automakers have told us that tailored products are enablers to improving crashworthiness while offering opportunities to reduce weight and cost compared to conventional stamped assemblies," said Ron Krupitzer, vice president automotive applications, American Iron and Steel Institute (AISI). "The purpose of the Alliance is to assist automakers in their application of tailored products by optimizing the performance of the products and thereby expanding applications and the markets for the products."

To encourage further development of technologies and performance of tailored steel products, AISI is organizing the multi-functional group of tailored steel product manufacturers, equipment manufacturers and material suppliers. The group, called the Tailored Steel Product Alliance, has received initial interest and participation from:

The mission of the Alliance is to expand the applications and markets for tailored steel products.  This will be accomplished by leveraging the resources of its stakeholder members to:

• Develop and optimize the applications of tailored products, and
• Communicate information on the applications and benefits of tailored products.

Although the primary focus of the Alliance will be on automotive applications, other markets will also be addressed.

Peter Mould, program manager, AISI, will coordinate the Alliance’s activities. "We are encouraged by the positive response that the formation of the Alliance has generated among tailored product manufacturers, their suppliers, and steelmakers,” he said. “Although we are still in the formative stages, we anticipate making a great deal of progress in a short amount of time by raising the awareness of the benefits of tailored products.”  Mould said that initial projects under investigation are the development of a cost-benefit model and updating the guidelines for tailored blanks issued by the Auto/Steel Partnership in recent years.

AISI serves as the voice of the North American steel industry in the public policy arena and advances the case for steel in the marketplace as the preferred material of choice. AISI also plays a lead role in the development and application of new steels and steelmaking technology. AISI is comprised of 33 member companies, including integrated and electric furnace steelmakers, and 118 associate and affiliate members who are suppliers to our customers of the steel industry. AISI's member companies represent approximately 75 percent of both U.S. and North American steel capacity.

The Automotive Applications Committee (AAC) is a subcommittee of the Market Development Committee of AISI and focuses on advancing the use of steel in the highly competitive automotive market. With offices and staff located in Detroit, cooperation between the automobile and steel industries has been key to its success. This industry cooperation resulted in the formation of the Auto/Steel Partnership, a consortium of DaimlerChrysler Corporation, Ford Motor Company and General Motors Corporation and the member companies of the AAC. For more news or information, visit www.autosteel.org.

American Iron and Steel Institute/
Automotive Applications Committee:
AK Steel Corporation
Dofasco Inc.
Mittal Steel USA
Nucor Corporation
Severstal North America Inc.
Stelco Inc.
United States Steel Corporation

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CONTACT:
Deanna Lorincz
Director, Automotive
Communications
American Iron and Steel Institute
tel: 248.945.4763
fax: 248.352.1740