Article | REF: M7965 V1

Wire rod

Author: André FAESSEL

Publication date: December 10, 1996

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4. Economic elements

4.1 Rolling mill cost structure

  • The total cost added to the product by the rolling mill can be broken down by type:

    • processing costs: materials, energy, miscellaneous purchases, labor, maintenance (excluding labor) ;

    • overheads ;

    • amortization and related financial expenses ;

    • financial expenses on inventories.

    Overheads depend, by definition, on the structure of the company, not on the technology. Depreciation and other financial costs depend on the history of the installations, not on the current situation, and on the company's overall management (right down to its commercial...

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Economic elements