Southern African Institute of Steel

Construction

Our industry

The things we produce

Structures for:• Buildings• Bridges• Power stations• Petrochemical plant• Mining industry• Roads• Railways• Community buildings

• Factories• Stadia• Shopping centres• Transmission lines• General industry• Harbour cranes• Communications• Agriculture

Examples of our work

Examples of our work

Burj Al Arab, Dubai

Examples of our work

Ebay Liberation mining project

Examples of our work

Khalifa Sports Complex, Abu Dhabi

Examples of our work

Obanja Cement, Nigeria

Examples of our work

Transmission line pylons

Examples of our work

Snap Lake Project, Canada

Examples of our work

Steel-framed house

Examples of our work

Soccer City Johannesburg under construction

Examples of our work

Maponya Mall, Soweto

Examples of our work

Nelson Mandela Bridge

Modern workshop

October 2009: Opening new Cosira works at Vulcan 30 000 sq m 5000 tons/m

Fabrication in workshop

DSE Works in Vanderbijlpark

Erection on construction Site

Soccer City in Johannesburg under construction

WHAT DISTINGUISHES US FROM OTHER INDUSTRIES• We don’t make widgets

• We participate in construction projects• Structures are designed by engineers,

architects and others• Each structure (and virtually each element of

each structure) is unique• Projects typically large, take a long time• Relatively small capital investment to create

one job

WHAT DISTINGUISHES US FROM REST OF

CONSTRUCTION SECTOR• Elements made in workshop,

assembled on site

• Safer, healthier, better trained and better paid jobs

• Computers play a bigger role in our lives (more knowledge intensive)

WHAT MAKES THE INDUSTRY IMPORTANT

• 40% of all steel used in construction• About 2 m tons per year• 80 000 people employed • Key enabling industry: have to have

structure in place before machines can be places etc - without structural steel industry, can’t have other industries

• Green: social, economic, environment

World class industry

• Materials control systems

• Engineering and draughting

• Health, safety and the environment

• Quality assurance

• Competitive

• Past 3 years – huge investment in new equipment, software, training

An industry looking forward

SAISC Activities

• Technical: Handbooks, SABS standards, advice

• Education and training• Industry improvement• Interact with decision makers in

government and private sector• Promote the use of steel (market

development)• Defend home market

SAISC Export promotion(“International Steel Fabricators” – ISF)

• Promote image of SA industry in target markets

• Pursue projects in other countries – mobilise SA companies

• Surveillance of world and regional trends and opportunities

• Interact with government

Structural Steel Exports pa (t)

HS Code 7308 ITAC statistics

Steel Construction Industry and IPAP

• NIPF (National Industrial Policy Framework)

Launched Jan ’07 (Min. Mandisi Mpahlwa)Four lead sectors:

• Capital & transport goods & metal fabrication

• Automotive & components

• Chemicals, plastics & Pharmaceuticals

• Forestry, pulp & paper

• NIPP (Offset commitments) vs CSDP

“Competitive Supplier Development Program”

Competitive Supplier Development Program

• NICHES (CENTRES OF EXCELLENCE):• Structural Steel industry !• - Creating capacity, investments…• - World class production, quality, safety..• - Export capability…and results• - Creating jobs:75 per 1000t/a capacity• - Training, upskilling, research & dev., • - Sustainability…GREEN!• - BBBEE: Construction Charter….

SAISC CSDP Participation• DTI SDP program – became CSDP• PBMR – Deferred, ongoing preparations• NIASA – Delayed, ongoing preparations• ESKOM• - Power station steelwork• - Power line industry• - Project labour agreements (PLA’s)• TRANSNET CSDP• UNIDO SPX Centre – Profiling• - Benchmarking

ESKOM CSDP Progress

• - Structural steel fabrication capacity

• - Substantial new capital investments

• - Best practice world wide studied

• - Most modern facilities world wide

• - Technical input: steel grades & sizes

• - Move from 40% ex Chinese to 100% RSA supply, fabricate & construct

1000011000

1350015000

1700018000 18000 18000

50006000

75009000

1000011000 11000 11000

9002500

4100 36601624

49006100 5700

3700

0

5000

10000

15000

20000

25000

2006 2007 2008 2009 2010 2011 2012 2013

To

ns

of F

abric

ated

Ste

el

Calender Years

Installed Capacity: Members of SAISC Fabricated Structural Steel

Tons per month

Other Fabricators

Major Fabricators

Medupi

Bravo

Steel Construction Industry

Kendal Power Station

ESKOM CSDP PROGRESS

• STEINMULLER : Boiler capacity

• Pipe bending

• DB THERMAL : New Nigel facility

• HITACHI : Various

• ALSTOM : Various

DTI INCENTIVES

• Not only financial !!• Must not result in “crutch” industries• Must align with other initiatives – eg SETAS,

ASGISA, BBBEE, etc. , etc.• Must build capacity: knowledge economy• EIP (Enterprise Investment Program) 2008 • New ideas being requested / investigated

Steel Construction IndustryNew Opportunities

• POWER LINES• HARBOUR CRANES• SASOL• PETROSA• PBMR• NIASA

THANK YOU !

MAKE THE SAISC

AND THE

STEEL CONSTRUCTION INDUSTRY

WORK FOR YOU

“We speak fluent steel”