Following the closure of the Usiminas steel works in São Paulo, Votorantim Cimentos' Cubatão cement plant will no longer be supplied with steel slag from the Brazilian steel producer. As a result, the cement works will function as distribution centre for bagged cement, maintaining the distribution for the regional market. 

The reason for this change is the current Brazilian macroeconomic scenario coupled with the prospect unavailability of slag in the region. The bulk cement will be provided by other company's factories in the region.

"As we were warned, the stoppage of Usiminas is affecting the entire chain of services around the steel industry,” said Mayor Marcia Rosa. “Votorantim, however, is taking a different approach, looking to leverage all employees in other units. And the very maintenance of plant confirms intention to resume activities in the near time."

The company points out that the operation of the plant will be maintained until the end of the supply of slag and its stock. The decision has no impact on market supply and customers continue to be served by the same sales team.