RUMANIAN STEEL INDUSTRY/PRESENT STATE OF STEEL PLANTS/OUTPUT/GOVERNMENT PLANS FOR INDUSTRY/PRODUCTION/SUPPLY OF RAW MATERIALS

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP80-00809A000500590240-8
• Release Decision: RIPPUB
• Original Classification: C
• Document Page Count: 7
• Document Creation Date: December 16, 2016
• Document Release Date: March 2, 2000
• Sequence Number: 240
• Publication Date: July 23, 1954
• Content Type: REPORT

CONFIDENTIAL
CENTRAL. INTELLIGENCE AGENCY
INFORMATION REPORT
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SUBJECT Rumanian Steel Industry/Present Stat6 of Steel Plants/
Approved For Release 200
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NO. OF PACES
NO. OF ENCLS.
SUPP. TO
REPORT NO.
"Present State of Steel Plants
a. RESITA plant is the largest in Rumania. In 1950, its production of
coke accounted for 91.6% of the total production of Rumania; production
of pig iron - for 41.696 of the total; production of crude steel - for
46.3% of the total.
RESITA, situated in CARAS 'istrict, liec near the large deposits of
coking coal of ANINA and also near some deposits of iron ore which
are however insufficient to cove., its needs.
RESITA has:
Four blast furnaces, two u`.11t uaccr 1939, two older but
reconstructed to increase capacity.
- A 23-oven coking plant (added in 1949) which doubled the
plant's coking capacity.
Open hearth capacity - in 1948 amounting to 240,000 tons,
increased later by the addition of two furnaces.
b. HUNEDOARA plant in the same TINTS province, built in 1939, ban:
- Five blast furnaces (some charcoal burning), three of thoi
reconstructed and enlarged after Weld War II.
- One new blast furns.c't added in 1950
- Four open hearths, each of 25-ton capacity (at least two
of than enlarged after World War II.)
- One 5-ton electric furnace
- One new furnace added in 1950
- Coking facilities are being installed (600,000 tons p.a. 4_jjer annum)
At present the plant depends on supplies from LUPENI and P1'ROSANI.
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SEE LAST PAC377 FOR SUBJI T & AREA CODES
DISTRIBUTION so STATE ARM, MA VT AIR i? FR
rCFjr{ EV
This report is for the use within the USA of the Intelligence components
of
the Departments or
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Dissemination, CIA..
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- Two new rolling mills probably completed.
The plant carries on an important production of tubes for oil.
w..ilo and natural gas nc.. woxit.
c. T=10-NADRAG-CALAN concern was split up upon nationalization, into
separate plants:
1. TITAN Woks in GALATI - ateslmaking and rolling,
2. NADRAG Works, GAVOJDIA - steelmaking and rolling
3. FERDINAND Works at FERD.-NASD - *.eel making, rolling
4. CALAN, In HUNEDOARA district., TIMIS province - pig iron:
- One blast furnace built 'e 1940, reconstructed and
enlarged, charcoal burning (one of the biggest of this
type ever built)
- One 'Bl'ast furnace for coke, recently put in motion
(Total annual capacity of both - about 70,000 tons
- A grey-iron foundry
d. MALAXA Works, now 23rd August Works, in -WUCHAREST - open ..earth stool;
capacity omall`although a new open hearth added in 1950. A new blast
furnace under construction. A tube-malting plant has increased its
capacity by 25%% since 1947.
a. VULCAN Wor' in BUCHARMT - Open hearth steel
f. INDUSTRIA M FM, in BUCHAR>g1T.
g. ASTRA VAGCANE, in STALIN - Open hearth steel. This plant operates a
methane gas firat --on hearth (since 1947) which is first of such kind
in 14urope.
h. SCBffi., In STALIN
1. STEAQUL.ItOBU in STALIN - Ballbearing Works, - Open hearth steel
9TUOUL special stools.
~. SOVROM TRAtCgt Plant In Stalin - Riectric steel.
k. CONCOFDIA Works - in PLOP 7TI.
1. VLAHITA Works East MUREB Province (ore-producing region) - pig ir-n.
The plant alms three blast furnaooe, two of them pro-World War II, third
one added in 1950.
m. INHUSTRIA SARMBI, in CAMPIA TURZII - open hearth, produces special stools
inc siding ca . and wire.
o. D. GOLDENBIItG Works, in BRAALA
p. INDUSTRIA S1OISI in BRAILA - open hearth, produces special steels including
cable and wire.
"Generally, the three first-named plants, i.e. BE$ITA, HUNEDOARA and TITAN-NADRAG-
CALAN, account for the greater part of the total production of Ruiania, while the
others are smaller and leas important plants. This is shown by the following table
showing capacity of iron and steel plants in 1948, i.e. before the nationalization
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RFSITA
HURSD0ARA
TITAN-AADRAC-CALA.H
All Other Plante
Together
Iron t'7rs? Coke Output of Pig Iron
45,0? 90,000**
120,0? nil
80,0W nil
TOTAL. 260,OW
*own mass
eel Doubled
***includes 120,000 tons of p3st4s
Char oal
Coke
nil
120,000
20,000
150,000
22,000
25,000
.L
00
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Open Hearth
Steel
Electric Rolled
Steel Products
Tubes
240,000
10,000 220,000
nil
100,000
5,000 100,000
nil
75,000
Al 105,000
nil
x"000 nn,o 0 35,000
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COIL?IffiITIAL
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. "government Plans in Iron and Steel Indz?.stry
4. The first interim One-Year Plan (of 1949) provided for the total investment of
82,0 million lei, of which 36.8? towards mining and heavy inaaastiy; however,
130,';00 million lei were actually invented. In the iron :nd steel industry, the
investment included:
- Construction of several.-new open hearths
- Construction of new coking plants (one in RESITA)
- Reconstruction of two open hearths and three blast furnaces
- Starting the construction of two rolling mills (to be completed in 1950).
5. "Production results, in comparison with the plan, were as follows:
Production in thousands of tons 1948+'Arod
uc s 100%
in 1948 in 1949
Coal 2,402 2,923
115%
121.7%
Iron ore 209 324
124%
155.3%
Pig iron 191 275
135%
143.8%
Ht eel 340 3a 349 9
1folled Products
116%
114 2%
6. "The second interim One-Year Plan (1950) provided for the investment of 145,000
mill ion lei (but about 150,000 million wore invested) of which about 45% for mining
and heavy industries. As far as it is known, invpstments in steel and iron industry
included:
Construction of four now open hearths
Reconstruction of one blast furnace
- Completion of a rolling mill for w2ec.al steels (CANPIA TURZII).
"Production results, in comparison with 1949 and with the plan, were as follows:
Production in thousands of tons Target
in 1949 in 1950 . (1949 produ
Result
ction ^ 100%)
Coal 2,923 3,221 113%
110.2%
Iron ore 324 395 116%
121.8%
Pig Iron 275 335 116%
121.9%
steel 459 558 119%
121.5%
Rolled products 349 387 109%
X10.8%
?Tl 1951, the Five-Year
to be 1,330,000 million
Plan came into operation. The planned capital investment is
lei of which 51.5% towards mining and heavy industries.
"National expenditure for 1955 is planned a.t 1,200,000 million lei of which 320,000
milli.,.'. lei is to be spent for investment (more than one-fourth of the total
expenditure).
10. "The following investment projects are planned for this period (in steel and iron
industry):
Reconstruction of two existing blast furnaces
Reconstruction of nine existing open hearths
Construction of five new blast furnaces, each of capacity of 320 tons daily
(present capacity 110-180 tons)
Construction. of five or more new open hearths of which four, of the capacity
130 tons daily, to replace existing 25-ton furnaces at HUNRDJARA)
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- Construction of a steel tube plant, with the annual capacity 250,000
'tons of which 120,OO1- seamless tubes
- Construction of four rolling mills
rte' Construction of ne?,r Ferro-alloy and Ferro-manganese plants
Rebuilding of WJri'EDOARA and RLSITA plants
A metallurgical coking plant, capacity 600,000 tons p.a. z5er annum,
(USSR is to provide all equipment, also agglomerating equipment for
iron ore and la-ge-capacity rolling equipment for sections and tinplate).
11. "The following table shows the comparison between the actual output in 1950, estimated
output in -1951 and targets of the Five-Year Plan for the year 1952 and 1955 (in thousands
of metric tons):
1950
Output
195]. 1952
Estimated Plan
Output Target
1.9
Pl
T,%
55
an
Wt
Coal
3,221
3,84o
8,
533
Metallurgical coke
700
Pig iron
335
375 590
800
Steel
558
640 730
1,
252
Rolled products
387
44f~ 530
828
12. "Investment program for 1951 included:
- Opening of two new coal mines (PETRILA and LUPENI in T province)
- Opening of the new metallurgical coke plant in_HStNEDOARA
- Construction of a new blast 11axnace in HUNEDOAfA
- Construction of a new blast furnace at CALAN
- In SOVROM 'ItACTOR plant in STALIN:
installation of a forge and a foundry,
- completion of a new rolling mill for 5 in. tubes.
At RUNEDOARA, foundations have a]se-sdy been laid for the rebuilding of the plant.
According to official announcements from the Rumanian Government, after the ccmrletion
of the present Five-Year Plan, another Five Year Plan is to be put in operation for
the period of 1956-1960. In this period, it in planned to erect a completely new pt..al
and iron works of an enormous capacity which would nearly equal target figures for 1955
for the entire country.
"Supper of Raw Materialu
13. The main difficulty in the Rumanian steel and iron industry is that the supply of raw
materials at have does not keel, pace with the extensive development of this industry,
and in spite of all efforts, it does not seem likely that it will be considerably
improved. This means that if all government plans-in iron and steel are realized, the
over-extended steel industry can only go on if it receives sufficient supplies of raw
materials from abroad.
14, The only materials for the steel industry of which Rumania possesses enough for her
needs, are molybdenum, chrome ore, manganese ore and refractory bricks.
15, "The deposits of these materials are as follows:
Lor.ation Content Reserves
Molybdenum CRIS NLGRU Valley 0.75 -? 0.859 about 8,000 tons
(district BIHOR) MOS2
METALLIFERRS Mouutai.ns Zs_i;OZ- 5 - 0.24%
(`1EtANS-DANUPIA) MOS2
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Location Content Reserves
Chrome South TII+LCS Province 18- C chrome minimumTmiIlion tons
on banks of DANUBE
Manganese JACOB INI-SARUL Mr, Fe Si,-),d
DORNEI 32-34 10 11 650,000 tons
DuLINESTI-OHABITA ,sij26-32 12-14 18-24 1,200,000 tons
SASCA-MONTANA-
MOLDOVA
MONEASA-VASCAU 27-48 9-21 0.4-0.7 500,000 tons
BUCEAVPZS-i27GODINESTI 40 8-10 6-7 500,000 tons
MASCA-RAZOAI E
DURUE'1 giy7 24-30 20-22 15-16 1,500,000 tons
The deposits of manganese ore are so large that they will suffice for many years. Apart
from that, there are extensive plans of boring for yet undiscovered deposits of these
and other alloying materials as well as of iror ire.
16. "Even if new deposits of iron ore are discovered, however, home ore supplies will remain
insufficient for the needs of the industry. They are in ,f&W-inadequate to maintain
steel Industry of any size. According to a most prob I'Le estimation of irron ore
reserves, they are at present ac follows: ?t."
Reserves output in 1948
P01 ANA RUSCAI(kowns
GZ. LAF., RUDA, AWN) 16,990,000 tons
District of OCNA DE FER 7,120,000 tons
District of CRISAN. BIHOR 3,431,000 tons
District ODGRNEI 1,400,000 tones 12,000 tons
Carpatho-Ukraine District 80c,000 tons
District TREI-SCAUNE ?
East MARAMUR313 ? -
DOBRUDJA ?
17. "In all, the probable and possible reserves of iron ore in Rumania amount to around
30,000,000 tons. The output in 1948 was 210,000 tons, and the maximum estimate of tha
-951 output was 510,000 tons. With the state of mining and steel industry as it was
in 1952, Rumania had to depend upon imported iron ore up to some 40% of-her requirements.
Rumanian imports of iron ore are: - in 1950,about 250,000 tons; - in 1951, about 300,000
tons.
18. "Another difficult probi-, is the lack of coking coal. From all Rumanian coal deposits
only two - one situated rear PLTROSANI, another around ANINA, south of RESITA - are of
coking quality. The others are brown coal. and lignite, unsuitable for coking. The
reserves of coking coal are estimated at the uwximum of 110,000,000 tons. The annual
output in 1947 was 60,000 tons; sit-ice then it has increased, but considering that coke
requirements of steel and iron industry have risen from some 80,000 tons in 1947, to
around 275,000 tons in 1950 - it is obvious that here also Rumania must depend on imports.
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29. "Some circles believe that this shortage may to a certeii extent be met by the use of
natural gas of which Rumania.has plenty. There is indeed already one methane-fired
furnace operating at CAh.PIA TURZII, for smelting non-ferrous metals, and experiments
were made with the use of natural gas in the blast furnace (SONAFER enterprise in 1942)
and also in an open hearth (ASTRA VAGOANE, STALIN). The SONAFER experiment, although
reouTting in an extensive saving of coke has, however, proved too costly.
20. "As to the supplies of scrap, no data are available, but large quantities of war scrap
must have made the situation satisfactory in the first post-World War II years. Recently,
however, energetic scrap-collecting-dr.ives have been initiated, and there is also evi-
dence in a trade agreement between Rumania and Albania that Rumania is obliged to
import some scrap.
21. "The main sources of import of the raw materials which Rumanian steel industry needs
so badly are: USSR for iron ore, USSR and Poland for coking coal.
22. "Rumania competes for Soviet ore (KRIVCI ROG) with Poland, Czechoslovakia and East
Germany. All of these countries are becoming more and more dependent on Soviet supplies
for their own steel industries. Moreover; the USSR herself has adopted the plan of
developing her own stee? production from around 30 million gins p.m. Lper annum7 to
60 million in 1960 and shall undoubtedly.cansider her. own interests first before export-
ing ore to the satellites.
23. "As to the coking coal, both Pol?.sh an3 Soviet coal involviFtvery high coats to trans-
part (Folish coal transported by railway,. Soviet coaL-~c6ea but from the distance of
some "00-500 miles).
24. "All this leads to the conclusion that:
a. RuZanlan steel and iron industry is .eing developed without any relation
to.the country's own sources of raw materials,
b. It may only be maintained if imports are assured from the USSR and other
countries of the Soviet blcc,
c. it is therefore closely dependent on the economy of that bloc."
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