The Iron Age 1922-01-05: Vol 109 Iss 1

BS THE IRON AGE New York, January 5, 1922 ESTABLISHED 1855 VOL. 109, No. ? Lowest Output in Relation to Capacity Nineteen-Twenty-One a 38 Per Cent Year in Steel—Steadily Declining Prices, But High Costs Due Largely to High Freights and Restricted Operations HE iron and steel industry entered 1921 well T persuaded that the depression that came upon it three months before the end of 1920 would grow more acute in the new year. Yet it is truth to say that no prophecy made at the beginning of 1921 went so deep into depression pig iron} to-day is the smallest on record in pro- portion to the country’s capacity.” The same statement could have been made in succession at the beginning of May, June, July and August. But in August the turn came and for four months there was a succession of increases in as both prices and production went, as the re- sult of the year’s develop- ments, Prices declined steadily throughout the year, with an occasional eddy unre- lated to the general trend, and the plotted curves for rolled steel are all at high point in January and at low point in December. The production curve is different. Its high point is in January, but its low point is in July, while De- cember is about half way between the two. Hopes of Rebound Dashed Just as in the second half of 1919 and the greater part of 1920 most manufacturers believed that the war reckoning had been dodged, because it did not come as soon as they expected, so in the early months of the pres- ent depression there was a belief that the demand for iron and steel dropped off so precipitously in the fall of 1920 that some rebound output. SUNOCO LELAMNOODENEL POEL LUELERDEDEAUNOBONA ADDN LL LDNEUUORANERERERDONADLGONEN DCL OEOEBEOREDAD IT LGN sai nEDDREO ONO coven MeneNEOONED Lanse TRER rOpeRnONNORANEEOONEE | 1921 in Iron and Steel suetenenengasonny ens DDORNORNARONERDENUEDONNONENDOLAEAEANO DOSS ODEONGHDADOONNL isu QORsEOONuDOONR OO DORE TONE TOA YEAR of severe depression, of steadily declining prices, of un- employment and successive wage re- ductions for workmen, and of heavy losses for iron and steel companies. Output was on a smaller scale, in relation to capacity, than in any other year in the history of the industry. Pig iron production was about 16,- 400,000 tons, 44 per cent of the 36,- 925,000 tons of 1920. We must go back 13 years, or to the 15,936,000 tons of 1908 (the year after the last panic), to find so small a pig iron year. Steel works produced about 19,- 250,000 tons of ingots, against 40,881,- 000 tons in 1920. In terms of the country’s ingot capacity, 1921 will rate as a 38 per cent year. The decline in prices was from an average of 3.082c. per lb. on Jan. 1, for the seven leading forms of fin- ished steel, to 2.062c. per lb. on Dec. 31. At the beginning of the year the average of these seven products stood at 85 per cent, and at the close of the year at only 24 per cent, above the 1913 average. Oe i nSkbLeNRUNMBARRONNNNS 1/41) UbANENL Steel ingot production likewise was at low point in July. Using Up Stocks to the Utmost The one thing in the record of 1921 as a steel year that stands out above all else, and that was con- tinually a marvel, was the way in which consumers got along without going to the mills. There was much more steel in the country, in the hands of jobbers, manufacturing consumers and others than had been thought. The country never got along before on a 38 per cent operation of its steel capacity and it would not have done so last year but for using up to the last ton what was carried over from 1920. Thus the effort of con- sumers in all lines to re- duce their steel inventory to the lowest point domi- nated mill operations. As prices steadily declined resort was had to every expedient to avoid draw- was inevitable. The spring mmm of 1921 was the time gen- erally set for renewed buying, and the theory was that as restriction in output, particularly in pig iron, had been drastic, there might be some stif- fening in prices along with the revival in demand. All such hopes were disappointed. At the beginning of April it was said in THE IRoN AGE’s market summary: “Production [of ing on the mills for fresh supplies. Railroads shipped steel across the country from one repair shop that had fair stocks to another that had lit- tle. Jobbers in iron and steel traded with com- peting jobbers, shipping sizes and forms in which they were overstocked in exchange for sizes and forms of which they had little. Steel companies at times shipped from their warehouses at mill 2 THE prices rather than start up a mill for a meager rolling on which delivery was due. Blast furnace yards were full of ore bought at the high prices of 1920. Throughout the year such stocks were a heavier and heavier incubus on the ore and pig iron markets. As illustrating the inclination of the whole trade, particularly in the early months of the year, to take the most hopeful view possible of the future, the estimate was common at the end of March, and it appears in our market summary of March 31, that “less than 40,000,000 tons of Lake Superior ore will be shipped this season,” seeing that fully 31,000,000 tons was then in furnace yards and on docks. “Less than 40,000,000 tons” was quite correct! But there was no idea on March 31 that the season’s movement down the lakes would turn out to be so little as 22,300,000 tons. Consumers Turn Jobbers An unprecedented thing was added to all the other influences at work to restrict demand for steel. Along in the second quarter of the year large manufacturing consumers turned jobbers, selling off bars, plates, structural shapes, or whatever they had on hand, at less than warehouse prices. Many of the Steel Cor- poration’s contracts of 1920, taken at much below pre- vailing prices, were written down as firm orders and the buyers took the deliveries when due. In some cases they could not use the steel, but generally the reselling was prompted by the belief that it could be replaced later at lower prices. Steel Corporation and “Independent” Prices The low prices maintained by the Steel Corporation in 1919 and 1920, ranging from $10 to $30 per ton below those of independent steel companies in different products, extended their influence into 1921—but not for long. The year opened with the Steel Corporation operating at 85 to 90 per cent of capacity. Independent companies, which for many months in 1920 had sought prompt rather than contract business, had little work ahead and early in January ran at less than half the Steel Corporation’s rate. Later in that month inde- pendent mills operated at but 20 to 30 per cent of capacity. Some followed the plan of shutting down certain mills altogether, then after two weeks or so starting up to take care of orders that had come in. The difference in the position of the Steel Corpora- tion and the independents early in the year will appear from the fact that in December, 1920, the latter cur- tailed pig iron production by blowing out 19 furnaces, whereas the Steel Corporation had three more fur- naces at work on Jan. 1 than on Dec. 1. In January the independents blew out nine more furnaces while the corporation blew in one. In February, however, the Steel Corporation was made to feel the effects of the universal contraction, its list of active blast fur- naces suffering a net loss of 15 in the month. At the beginning of the year the Steel Corporation was still adhering to the so-called Industrial Board prices of March 21, 1919. But only a few weeks had passed before the independents went lower. In the first week of February the Midvale Steel & Ordnance Co. announced that it would quote prices low enough to bring business to its mills, some of which had been shut down since early December. Cuts of $5 per ton below the Steel Corporation schedules came promptly, the products chiefly affected being plates, shapes and bars. The decline went on for several weeks, the Steel Corporation meanwhile maintaining the prices to which it had adhered for about two years. By April 1 plates had declined from 2.65c. on Jan. 1 to 2c., beams from 2.45c. to 2c. and bars from 2.35c. to 2c. On April 12 the Steel Corporation announced that IRON AGE January 5, 1922 it had decided to make substantial reductions, putting bars at 2.10c. and plates and shapes at 2.20c. Billets were reduced from $38.50 to $37, wire rods from $52 to $48 and tin plates from $7 to $6.25 per box. At the same time independent companies, which had been sell- ing below these prices, advanced their quotations to those announced by the Steel Corporation. It was apparent in May that these prices were not holding, some plate mills having made a 2c. price, while bars were sold at 1.90c. Pittsburgh. These price cuts did not increase the volume of business, there being no evi- dence of a stabilizing influence. On July 5 the Bethlehem Steel Co. announced re- ductions amounting to $4 per ton for bars, plates, shapes, billets, skelp, sheet bars and blue annealed sheets, $5 for black and galvanized sheets, and $10 for tin plate. On some products this announcement merely recorded what the market already had done. In mid-July aggressive competition between the Steel Corporation and independent steel producers developed in the Chicago market, Pittsburgh basing having gone by the board in that district. Through the remainder of the year prices kept on declining. One small counter current was started by an advance of $2 to $3 per ton in wire products, made by the Steel Corporation, effective Sept. 10. The real effect of this advance was to bring a large amount of business on its books at prices previously prevail- ing, which were $2.75 per keg for wire nails and $2.50 per 100 lb. for plain wire. While considerable business was done later at the advanced prices of $2.90 for nails and $2.60 for plain wire, it turned out that these prices were not really enforced. Later in the year there was considerable cutting in wire products and on Dec. 21 the Steel Corporation announced formal re- ductions to $2.50 for wire nails and $2.25 for plain wire. There was a jog in the pig iron pvice line, most noticeable in the Eastern market. Low point was reached in all pig iron markets in August, and in some a slight turn upward came in September, lasting through October. In November prices began falling away again and the decline continued through the year. Uneconomical Operation Throughout the year steel companies were con- stantly at work to get costs down. Naturally wages were reduced, as will be referred to later. But economies in operation were enforced, such as were not possible in the strain for output which marked most of the months of 1920. Crews were recast, and in some instances mill foremen were given such general orders as, Use five men to do the work formerly done by six. Fuel economy was studied anew, in view of the war wages paid at coal mines and the high freight on coal. New economies were found in the use of re- fractories, lubricants and all other supplies, on which costs had run up beyond all precedent. Per capita output was increased in some classes of operations. At blast furnaces accumulated flue-dust piles were made available by sintering, replacing in some cases con- siderable percentages of high priced ore in blast fur- nace mixtures. But every effort at economy, even that secured by the easiest and least desirable route of wage cuts, met eventual defeat at the hands of High Unit Overhead. All that steel producers had learned of the incom- parable value of large tonnages as a divisor into fixed charges had to be forgotten. Small runs, spasmodic starting and stopping of mills, and at all times frac- tional operation of producing capacity were insuper- ably baffling. Cases are known in which, rather than start up a mill to make a scheduled delivery, the pro- ducer bought the material from a competing company. The latter got the benefit of a longer run, which helped January 5, 1922 its cost, while steel company No. 1 was able to buy at less than it would have cost it to start its mill. Sources of Demand The railroads are credited with consuming each year a large percentage of the country’s steel output. They did not consume much last year, as is told below, but it is to be said in passing that the railroad consump- tion of steel is always exaggerated in the general think- ing. It is doubtful if it has gone above 25 per cent in any year in the past 20, apart, possibly, from 1906 and 1907, and commonly it is not above 20 per cent. Throughout the year it was the constant comment in market reports that in the heavy products—rails, plates, shapes and bars—demand was indifferent. The lighter products did better—wire, sheets and tin plates. On the whole, there was a good business, particularly in the second half, in wrought pipe. The new oil fields of Texas and the revival in the petroleum market after a period of flatness brought out some good contracts for line pipe. What saved the day for plate mills, in the small demand from shipyards and car works, was the un- usual amount of tank work called for by the oil fields, particularly the Mexia field of Texas. In the second half of the year tank works in the West and Middle West were unusually busy on this account. New construction, commonly called an index of ac- tivity in steel, was held back by excessive labor cost. There was a good deal more house building throughout the country than was commonly credited. This is es- tablished by the fact that foundries making heating furnace castings ran at a much better rate than others and that radiator companies really had a good year. Manufacturers of sanitary equipment and builders’ hardware fared well also. A good deal was done in the erection of school houses and other public buildings, but not much in business structures, and very little in bridges. The bookings of the fabricating companies averaged for the year about one-third of their capacity. Agricultural implement warehouses were pretty well stocked with machinery throughout the year, and man- ufacturers in these lines did little. No large buying of steel from that quarter is to be looked for until the farmer gets on his feet, and that will not be until after the next harvest. The automobile demand was about what was expected of it—considerably less than half that of 1920. Replenishment demand, after months in which the country had been swept bare of steel in all forms, caused the larger operation of steel works and rolling mills that dates from the early fall of last year. Meager Demand from Railroads Railroad buying in 1921 was most disappointing. From early in the year until its end steel producers held to two muin hopes, neither of which was realized. One was that the Government’s settlement of the rail- road claims. for losses during the period of control would give them means with which to buy equipment and do track work, thus helping the steel mills in their time of need. The other was that freight rates would be put down and the steel trade relieved in part of the heavy burden of transportation charges nearly double those of pre-war time. The special hardship of the 40 per cent rate in- crease of August, 1920, on the raw material of steel making was put before the carriers time and again. Many of them conceded the force of the argument that there is no parallel in other industries for the hauling, often for long distances, of five tons of raw material for the making of one ton of finished steel product. But the railroad presidents were so engrossed with issues growing out of their relations with the labor unions that they could not take the plight of the steel industry into their thinking. Nor could they be made ANNUAL REVIEW SECTION 3 to see how far any increased buying of steel that might result from lower freight rates on its raw materials would go in improving their own business. From time to time predictions of betterment in the steel trade were put out, on the promise of legislation, favored by the administration at Washington, for the funding of $500,000,000 of railroad indebtedness to the Government for property expenditures in the period of control. But this legislation never came through. Various settlements were made on war-time claims of the railroads against the Government, and following these there were belated payments of railroad obliga- tions to the steel mills. Substantial relief to the rail- roads came in a 12% per cent wage reduction on July 1 and in changes in shop rules made by the Railroad Labor Board in December, working savings of many millions of dollars per year. Out of all the expectations of railroad buying en- tertained at the opening of the year the actual outcome was far below that of 1920. And 1920 was a year in which the railroads directly and indirectly, consumed not more than 15 per cent of the country’s steel output. New cars ordered were only a fraction of the 84,000 placed in 1920, being only about 20,000, and locomotives ordered for domestic use were fewer than 250. The repair of 40,000 cars helped in a measure to make up to the mills what they missed in steel for new cars. Production The output of iron and steel in 1921 was the small- est since 1908, which was the year following the panic of November, 1907. Pig iron production last year we estimate at 16,400,000 tons and steel ingot production at 19,250,000 tons. Counting ingot capacity at 50,500,- 000 tons 1921 was thus a 38 per cent year. The out- put of steel ingots and steel castings together was probably not far from 19,850,000 tons. Comparison with the five preceding years is made in the table be- low: Steel Ingots Pig Iron and Castings Gross Tons Gross Tons DO cut uevae aw eudwe 39,434,797 42,773,680 SOEs a wutuws urd ckeke 38,621,216 45,060,607 Bee. nis. dudiwnndee wan 39,054,644 44,462,432 Bee” néeneuneenduedune 31,015,364 34,671,232 SE 6eig't AW 0.0m nae ae 36,925,987 42,132,934 SE cidade dtedie viens 16,400,000* 19,850,000° *Estimated The variations in pig iron production appear in the following statement of the number and daily capacity of the furnaces in blast at the beginning of each month: Daily Daily No. in Capacity No.in Capacity Blast Gross Tons Blast Gross Tons ee, 36.6. Fe 76,540 Out Satan! CO 32,195 . 9 Pe: 70,500 Se t.1cs & 29,175 March 1.. 153 61,850 ee Las 30,170 April 1... 102 41,530 ee Boa cece 35,650 May 1... 96 39,105 ae 43,500 June l.. 90 37.085 Dee: tase Be 51,665 In the low month of the year, July, 864,555 tons of pig iron was made. Not in 17% years had any month yielded so low a total. In December, 1903, the coun- try produced 846,695 tons. The Year’s Iron and Steel Exports Starting in under the momentum of the 1920 move- ment which made the January total 547,394 tons, the export of iron and steel from the United States tap- ered down rapidly until in August, with 75,827 tons, a figure was reached lower than for any month since January, 1909. An encouraging but slow growth after August, month by month, brought the figure to 122,290 tons for November, which is 28.2 per cent of the No- vember, 1920, movement. Up to Nov. 30 the total was 2,075,674 tons, or 47.15 per cent of the 4,402,056 tons for the first eleven months of 1920. In only two items did the shipments last year ex- ceed those of 1920 these being welded pipe and fittings, (Continued on page 53) / : / Manganese Steel Made in Electric Furnace Melting Practice for Castings Discussed—Use of Manganese Steel Scrap—Deoxidizing with Manganese Ore—The Heat Treatment BY LARRY J. BARTON* riority over other steel-making methods. This time it is in the field of manganese steel. Up to a few years ago all of the American production of this metal was by means of the converter, the ferroman- ganese being added molten in the ladle. One company has made extensive trials with the electric furnace, over the last three years. Its results have been so gratifying that they have decided to replace all the Ti electric furnace has again shown its supe- Tapping a Heat of Manganese Steel from an Electric Furnace in the Plant of the Southern Pacific Co. converters with electric furnaces. Manganese steel, made in the converter, was considered very good steel, but electric steel is so superior in every way, that it might be considered a “super-manganese steel.” The following paper is intended to cover this subject in detail. Production and Uses Manganese steel was first brought to the attention of the steel world by the researches of Sir Robert Hadfield, in England, about the year 1887. Its first introduction into the United States was in 1892 in the form of manganese steel castings. Since that time there has been a gradual increase in the tonnage until Southern *Metallurgist Pacific Co., Sacramento, Cal. the present time, when about 100,000 tons is the yearly capacity. This product is being shipped in quantity to all parts of the world, from the gold mines of Alaska to the great dredgers of South America. The great work of the Panama Canal was only made possible by the use of this metal. Manganese steel is a steel of many uses. Being one possessing great wearing qualities and toughness, it finds unlimited use where abnormal strength is re- quired. Dredge pins and buckets, rolling mill pinions, crusher parts, crane wheels, sheaves, tractor links, railroad frogs and switches, are some of its more important uses. Physical Properties Manganese steel, when heat treated, has the follow- ing properties as the result of a large number of tests: Tensile strength, lb. per sq. in.......... Miastic limit, Ib. per OG. IM... cccsecness 100,000 to 110,000 50,000 to 55,000 Elongation in 2 in., per cent............ 30 to 35 Reduction in area, per cent............. 35 to 40 FCI re ere 180 to 200 Os Sect eu sede Vanes eetestsaes 40 to 50 Manganese steel is practically non-magnetic, and for this reason finds great use as a protecting plate on electric magnets. Most of the steel parts on the AOneeinenrsaneneppaDennenensnneEoUNErENONOOONEDD Ite HOVE HeMRADDONTLONNEDRONEDOENDHDENSaEDEHOREELO TENET OREET TH eroenEroee RE RNEr ORE THnOROOE Table of Tests of Manganese Steel of Varying Compositions or Forged Steel Containing 0.83 to 19.0 Per Cent Manganese* Quenched in Composition, Per Cent Natural Water Annealed = A ——, : = : A om _ ~» - ¢ & te & ‘ x o a. w a. ~ Se. ~ = L 2s &&g 25 BE 25 s&s - oo © & Ney &O Ds gO Ns, 80 a ~ Ve om = OU Su om oh Sit 2 Si Ge ase a ae ee a Be) eg w. =e¢ & £2 & ee Oe Eb — . 2. tf 2, oe 2 3 = So =k ose =a == =S << Zz 9 nN ay mm Keo ~~ ox il feo 1 0.20 0.03 Cie ieee RR) Hawk. ORO Cede 2 0.40 0.15 2.30 125,440 me ace wee | ead ~ aes 3 0.40 0.09 3.89 85,120 i) 92 Shain % ea aaa eu 4 0.52 0.37 6.95 56,000 2 51,520 2 47,040 2 5 0.47 0.44 7.22 60,480 2 56,000 2 60,480 5 6 0.61 0.30 9.37 73,920 5 87,360 15 85,120 16 7 0.85 0.28 10.60 76,160 4 89,600 17 91,840 17 8 1.10 0.16 12.60 87,3606 2 120,960 27 82,880 11 9 0.92 0.48 12.81 87,360 5 186,640 37 107,520 20 10 0.85 0.28 14.01 80,640 2 150,080 44 107,520 14 11 1.10 0.32 *14.48 87,360 1 141,120 37 109,760 5 12 1.24 0.16 15.06 109,760 2 136,640 31 105,280 2 13 1.54 0.16 18.40 114,240 1 118,720 10 87,360 1 14 1.83 0.26 18.55 96,320 1 123,200 ute a 15 1.60 0.26 19.10 116,480 1 132,160 4 91,840 1 *Hadfield, Journal Iron and Steel Institute, vol, Il, 1888, p. 70. eeLonencasecenetcuennrneernacerreencaeneoencereennn CON nendae eeaenne TOL famous North Pole “non magnetic” ship were made of manganese steel. Its shrinkage is about 5/16 in. as against % in. for soft steel. This makes it a much more difficult metal to cast from the standpoint of the molder. Manganese steel when solidifying is prone to crack and check, and for this reason all corners or sharp edges are avoided wherever possible. Many castings must be shaken out while red hot and the cores broken in to overcome this trouble. Due to its great solidity meme meen 5 mn rn a | ne | ere January 5, 1922 the shrink heads on castings must be larger than on carbon steel castings, and the gating must be very carefully done to avoid tearing during the cooling period. Its Manufacture The steel being described was made in a standard 8-ton Heroult furnace. This furnace was lined in the ordinary way, basic bottom, basic brick to above the Part of a Battery of Heat-Treating Furnaces for Manganese Steel Castings slag line, with silica brick from there up and a silica brick roof. Due to the heavy reducing conditions and the large amount of lime necessary in the slags, the life of the linings and roof are much less than on carbon steel. This has been overcome to a great extent by the use of what are known as “metalkase” brick. These are a metal lined magnesite brick which do not spall and give superior service when lined directly to the roof. Manganese steel generally runs from 11 to 13 per cent manganese, with carbon 1.10 to 1.30 per cent. The main point in its successful manufacture is to keep the carbon always below this proportion, and if possible lower. Disregarding the remelting of manganese steel scrap, which will be taken up later, there are several methods of furnace practice available. 1. The metal can be melted under an oxidiz- ing slag, the slag removed, a second slag added, and cleared under a heavy reducing atmosphere, as if carbon steel were being made. When the slag is white and powdering, the ferromanganese can be added in lots of several hundred pounds at a time and the bath brought to the proper temperature and tapped. 2. The heat can be run as above, adding the manganese after slagging off, before the final slag. 3. The heat can be melted, the manganese added and the steel finished under the first slag. In the first two methods all the manganese in the THE IRON AGE 5 charge is wasted, flowing from the furnace in the first slag. This is saved by the third method. Then, too, there is a considerable saving of slag-making material by using the last method. The only objection to this method is the fact that if you melt down high in carbon you are faced with an off analysis. By carefully watch- ing the charge and melting, this is a point which very seldom happens, and then only when having electrode breakage. Under the circumstances the last method has been adopted as the standard practice. Melting Practice The charge is either shoveled or thrown by hand into the furnace, depending on its character, care being taken that the scrap is so arranged that it forms as compact a mass as possible. This is an important point, especially in a shop where heavy penalties are imposed by the power company on high peak loads. The more compact the charge, the easier the melting down and the quicker the time for a steady load to be obtained. The lime, generally about 2 per-cent of the charge, can either be added with the charge or as the bath is melting down. During the melting the rust and scale on the scrap reacts on the carbon, man- Quenching Tank for Treating Manganese Steel Castings ganese and silicon, cutting them down according to the reactions: Fe203 plus 3C equals 2Fe plus 3CO 2FeoO; plus 3Si equals 4Fe plus 3Si02 2Fe.03 plus 3Mn equals 4Fe plus 3Mn02 When using ordinary soft steel scrap containing carbon, 0.20 to 0.30; manganese, 0.30 to 0.50, and silicon, 0.05 to 0.20 per cent, the bath will melt down without any further additions of ore or scale to about carbon, 0.03 to 0.08; manganese, 0.05 to 0.10, and silicon, 0.01 to 0.03 per cent. If a heat of low phosphorous is desired it will of course be necessary to draw off the first slag. As the phosphorous limit of around 0.06 to 0.08 per cent in manganese steel is easy to meet, it will not be necessary A T To Stack Damper 1 End Section (Left) YYYjYy Yj YA and Sectional Plan (Right) of Heat- Treating Furnace VZ, for Manganese WY Steel vy 4 Y V rr When the charge is all melted, any pieces of metal on the side walls are knocked into the bath and a preliminary test for to do this except in unusual cases. Mold (Left) for Test Bars and Bending Block (Right) for Bending Manganese Steel Bars carbon taken. This can be either a fracture test by eye or can be a quick analysis by the chemist. As it is so easy to tell by a fracture test, the chemist is very seldom used for this preliminary. If your carbon is as low as desired it is time to go ahead. If not, scale or Length to suit a Pulling Test Test Bars for the Various Tensile, Bending and Drop Tests on Manganese Steel ore must be added, the bath boiled and the carbon burned out until the test shows the carbon is low enough. having been weighed out to give the desired analysis, it is added at the rate of 100 lb. per min., each lot being added through alternate sides of the furnace. The slag is now given a dusting of coke dust or some other reducing agent and the final period begins. The slag slowly begins to turn from a black to a brown, then greenish gray, and is finally white, powder- ing to a fine powder in the air. This is not always the case, however, as the slag may hang up and remain a green or a blue throughout the heat. The best indi- cation is the metal test, disregarding your slag entirely. This test is taken in a sand mold, made of two cores pasted together, poured on end. While still red hot with is the steel The 0.04, and S&S, THE IRON The required amount of ferromanganese- Photomicrographs of Manga- nese Steel Castings; Nitric Acid in Alcohol and Magnified 125 Dia. one at the left is the metal as cast and the other (right) after treatment. composition was Mn., 11.89; C., 1.28; Si., 0.24; P., 0.02 per cent AGE January 5, 1922 this test is quenched in water and broken on a block. If the bend is good the metal is ready to pour. If not, the bath must be held under further reduction and deoxidation takes place, according to the reactions: MnO plus CO plus C equals Mn plus 2CO SiOe plus CO plus 2C equals Si plus 3CO FeO plus CO plus C equals Fe plus 2CO the metals being reduced back into the bath and the oxygen going off as a gas. Under the influence of this heavy reducing atmos- Less than 90° More than 120° Poor ; Good 180° From 90°to 120° Fair Excellent Method Used in the Recording of Heats by Means of Bending Treated Test Bars phere, together with the large amount of lime in the slag, nearly all of the sulphur is eliminated from the metal. This may take place in several ways: FeS plus CaO plus C equals Fe plus CaS plus CO 2CaF.2 plus 2FeS plus Si equals 2CaS plus Sik plus 2Fe FeS plus CaO equals CaS plus FeO 3FeS plus 2CaO plus CaCe2 equals 3Fe plus 3CaS plus 2CO Testing the Temperature Assuming the metal test is now satisfactory the pene Reo o B Special Tool for Drilling Manganese Steel Samples steel is examined as to temperature. This can be ascertained in several ways: 1. By means of the rod test. A soft steel rod is immersed into the bath for a pre- Etched The January 5, 1922 determined number of seconds and the effect of the heat noticed by the way the end of the bar is eaten away. If cut off clean the metal is hot; if cut pointed the metal is medium, and if not cut at all or sculled the metal is cold. 2. By means of pouring over the lip of a small test spoon and noticing how clean the spoon pours, together with the appearance of the metal to the eye. 3. By means of drawing a spoon full of metal and taking the number of seconds necessary for the top of the metal to skin over. The last method is the one now in use and the required number of seconds is close to 60. This test is reliable only when there is over 0.50 per cent silicon in the metal and as soon as the spoon is taken from the furnace small pinches of ground silicon are added to give this condition. While this test varies according to the initial heat of the spoon before filling with metal, in the hands of the same operator it proves very reliable. When the steel is hot enough it is tapped, the ferro- silicon being added in small pieces to the ladle. Tea pot ladles are used and give very good service. Analysis of Slags The following shows the analysis of a few slags, recording the difference as the heat progresses: 1 P.M. 2 P.M. 2:10 P.M. 2:45 P.M. Dark Light White Brown Brown Brown Powder —Per Cent—_—_——_—__, — altel 28.02 34.70 33.50 33.60 ron oxide....... long Aluminum oxide... { 20.70 16.00 10.00 9.40 SN Ge bat oe © i 2¢ 5 Fe ‘ Magnesia ....... f 48.38 49.49 ee o6.<3 Manganese oxide. 7.02 4.45 .75 1.59 Some slag losses on different heats are as follows: Manganese in Steel, Manganese in Slag, Per Cent Per Cent 10.53 6.45 EE.3E 6.67 11.92 2.79 11.26 3.91 These were all on heats where the slag was difficult to clear and where the metal test alone was used to show condition of metal. Logs of the Heats Some of the actual heat logs were as follows: Heat No, — Steel Analysis, Charge Lb. Per Cent Heads and gates (carbon steel).. 800 Mn 11.62 SEER esi bins wethat ed salen wee eas 3,000 [ 1.26 po Pee, eee ee ere 650 P 0.055 ES as he are none abide dake Oe 4,450 Si 0.45 Time of heat, 4 hr. 55 min. Kwh, used, 3500 Time 10:20 Power on. Low amperage; voltage 104 to 106 10:35 Power off to lower electrodes 10:45 Power on. Amperage 4500 11:10 3 shovels lime, 60 Ib. :20 Amperage reduced to 3500; 60 lb. lime added 740 ~=All melted :05 First metal test, carbon 0.12 per cent. Slag dark brown 115 25 Ib. of ground electrodes added 118 Changed to low voltage, 83 :25 S'ag white High voltage, 106 :32 100 Ib. ferromanganese on hearth at each door :40 First 100 Ib. in No. 1 door; second 100 Ib. heating :44 First 100 lb. in No. 2 door; second 100 Ib. heating. Amperage increased to 4500 co cto petetetetston Nee ~ > 748 to :08 Manganese added 100 Ib. at a time from alternate doors :15 Tapped Weight of metal, 5100 Ib. Weight of slag, 310 Ib. Heat No. — Steel Analysis, Charge Lb. Per Cent pe ee Pere ee ea ee 500 Mn 11.02 PPE ee 4,100 C 1.33 WED ccc ne ex oS nav od cae ee e® 500 P 0.046 EE init > 4 nctidaha Senedd tae ae oe 5,100 Si 0.56 Time of melting, 6 hr. Kwh. used, 3900 9:30 Power on. 3000 amperes: voltage, 100 to 102 9:45 75 Ib. lime added; 4500 amperes 11:15 15 Ib. lime 1:00 60 Ib. lime THE IRON AGE 7 ~ a cS First metal test for carbon, 0.30 to 0.35 per cent on fracture ; slag, black :40 Hole in roof 50 60 Ib. mill scale; 2500 amperes :05 Carbon, 0.35 per cent by analysis 45 lb. mill scale :15 Carbon, 0.35 per cent :20 30 Ib. mill scale :30 Slagged off 2:35 100 lb. lime Robo hohe i So :10 Manganese added 3:20 10 Ib. ground electrodes 3:30 Tapped 5 Ib. Weight of metal, 565 350 Ib. Weight of slag, Analyses of the carbon electrodes used was as follows: No. 1, No. 2, Per Cent Per Cent ee 1.19 None Wak skienecneat decd nawubsannres 98.00 99.17 MS a6 0:0 ch eek tensaaldd toro 0.81 0.83 decks tim miaes «oak Ce area 0.49 0.12 WORE cc iadcetusc¥as ce@antlue aaa 0.12 0.26 BO ES re me eye None 0.08 O°. Ye ee ee re en, sae se None 0.17 BE Sie cek Kee kaa ease cae None 0.13 By Cade soucdeewaeed se abenevaarase 0.20 None Remelting of Manganese Steel Scrap This is the one great point where the electric fur- nace shows its superiority over the older processes. Under the old system this scrap was remelted in an air furnace, very similar to an open-hearth, with the exception that there are no regenerative chambers. These furnaces were also used to melt the ferroman- ganese. Large losses of manganese occurred, with the resulting raise in the proportional carbon content, giving great trouble in keeping the carbon low in the final metal. With the electric furnace this is larely eliminated. The scrap consisting of old heads and gates, defective castings, etc., is melted the same as ordinary carbon steel scrap under a heavy lime slag. Then towards the finish of the heat all this man- ganese in the slag is reduced back into the bath. The best success is obtained when the charges are rattled and cleaned from all adhering sand and scale. This lowers the oxidizing condition of the melting down period, tending to lessen the manganese slag contents. When the bath is melted, a sample is taken for the chemist to analyze for carbon and manganese. From this analysis the resulting charge of ferroman- ganese is calculated. These tests cannot be taken by fracture as the high manganese content of frcm 6 to 10 per cent changes the grain to such a point that any estimate is unreliable. Some Heats of Manganese Steel Scrap Manganese scrap, per cent 50.0 70.0 80.0 70.0 50.0 Condition Rusty Rusty Rusty Rattled Rattled How charg’d Center Top Top Center Center Current on 8:45a.m. 9:35 a.m. 3:35 p.m. 3:35 p.m. 1:15 p.m. Contact 9:15 10:05 6:05 Atonce Atonce Melted 11:10 1:15 7:35 6:15 3:45 Tapped 12:15 2:20 9:00 8:05 6:15 Total time 3:30 4:45 5:25 4:30 5:00 First charge : Mn ore None 12:00 6:35 4:55 2:45 Scale 10:55 11:05 6:45 6:05 3:45 CaF: 11:20 12:50 6:55 5:35 3:55 Lime 9:55 11:05 7:00 anes 3:05 Sand 11:15 1:05 7:25 6:35 4:25 Coke 11:15 12:55 7:35 6:35 4:25 FeSi ‘ainte 2:05 8:55 7:00 4:35 Total Lb. : Mn ore None 60 60 170 150 Scale 60 30 30 95 80 CaF, 20 15 25 40 40 Lime 85 145 190 215 250 Sand 15 36 25 25 15 Coke 85 155 85 110 120 FeSi 30 25 25 50 45 FeMn 630 332 324 395 610 Final siag er oi Light Light Bluish green green green Final temp., i sec. 60 40 60 40 45 Mn, per cent, theoretical 13.43 13.29 14.14 13.22 13.25 Mn, per cent, oumat 13.23 11.86 12.14 12.55 12.50 C, per cent, theoretical 1.30 1.25 1.33 1.29 1.29 Side walls: Before OK Thin Thin OK OK 8 THE After OK Thin Thin Cut Cut Bottom Before Hole OK OK OK OK After Hole OK OK OK Cut Metal tapped, lb. 6,430 5,655 6,010 6,200 6,400 Kwh. total 2,500 2,500 2,500 3,000 3,000 Kwh.perton 812 887 833 968 938 Time perton 1:05 1:40 1:50 1:26 1:35 The above data were collected during the experi- mental period on remelting manganese scrap and the results are not as good as future practice developed, especially upon such points as time and power. Since that time many heats of 100 per cent returned scrap have been melted with no difficulty. This process is the greatest event in the history of manganese steel making, as it allows for the remelting of shop scrap and old worn out castings with no loss of the man- ganese alloy. Manganese Ore as a Deoxidizer When ore or mill scale is used to cut the carbon it is a known fact that the manganese is also oxi- dized and goes into the slag as MnO. It was there- fore decided to try manganese ore in place of the mill scale. Theoretically this would cut the carbon and yet leave a high residual] manganese in the steel, according to the reaction MnQ, plus 2C equals Mn plus 2CO. This was tried with a heavy blue black manganese ore analyzing 50 per cent metallic manganese. Manganese Ore versus Mill Scale Manganese Mill Ore Scale Number of heats taken for comparison.... 13 13 Average weight shop scrap in charge, |b. 1,421 1,290 Average weight total charge, Ib.......... 7,225 6,827 Average weight total pour, Ib............ 7,028 6,661 Average melting loss, per cent........... 3.7 2.4 Manganese ore added per heat, Ib....... 36 om Average manganese in total charge, per cent 12.68 12.53 Average manganese in steel by analysis, 2 ASR Ori eee 11.61 12.11 Average manganese loss on total charge, I csbaris lees dk penal cali gh- aici set ba 8.45 3.35 Average carbon in steel by analysis, per chien alts WA 66.6 a eb ale 2 5/6 0:8 de bak 9 O00 1.03 1.09 Average manganese-carbon ratio......... 11.29 11.10 Average preliminary carbon, per cent.... 0.27 0.19 Average carbon in charge, per cent...... 0.38 0.37 Average carbon oxidized from steel, per Cs ibe tess ca heb ale ai <6 and bas apie 0.11 0.18 ey Sere, WU GR. aces acces ousecses 3,154 3,384 Average kwh. per ton of charge.......... 876 936 From these experiments it was found: That the manganese losses were greater with the ore. That the preliminary carbons and the final carbons were higher, due to the fact that not as much carbon was oxidized. That it required less power when using man- ganese ore. That the manganese-carbon ratio was better giving a final steel lower in carbon, even though higher at first. That when the scrap was rattled and free of scale, the results were excellent. The practice of cleaning the scrap and using man- ganese ore has now been adopted as standard practice. When used in this manner the ore is highly efficient. Mn Ore 7 Efficiency, Bend on Mn in Steel, C in Steel, Cc Per Cent Test Bar Per Cent Per Cent 10.30 97.4 Very good 13.88 1.35 11.20 73.5 Very good 11.72 1.05 11.30 90.5 Fair 11.72 1.14 10.50 91.0 No good 11.09 0.96 11.20 86.5 No good 10.76 0.90 10.85 64.5 No good 9.76 0.90 10.70 79.0 Good 11.24 1.05 11.65 101.0 Excellent 12.58 1.08 11.88 100.0 Excellent 12.08 1.02 11.85 90.0 Excellent 12.68 1.05 11.85 91.5 Excellent 11.97 1.01 10.15 96.5 Excellent 12.25 1.21 11.12 88.45 12.00 1.08 The following covers 86 heats, intermittent opera- tion: Average pour of metal, 6708 Ib., or 3.354 tons. Average charge, 6942 lb., or 3.471 tons. Melting Joss, 234 Ib., 0.117 tons, or 2.55 per cent. Time, 5 hr, 26 min. IRON AGE January 5, 1922 Kwh. per ton of steel poured, 1002. Kwh. per ton poured on first heat of day, 1055. Kwh. per ton poured on second heat of day, 948. Highest kwh. per ton of steel poured, 1385; lowest, 700. Average manganese lost from total charge, 2.16 per cent. Average manganese lost from ferromanganese, 1.26 per cent. Average manganese effective from alloy, 98.74 per cent. Average manganese in charge, 11.80 per cent. Average manganese in steel, 11.63 per cent. Average preliminary carbon, 0.18 per cent. Average preliminary carbon using shop scrap, 0.26 per cent. Using no shop scrap, 0.10 per cent. Average pick-up in carbon from 100 Ib. 0.096 per cent. Average manganese-carbon ratio, 10.77. Average heats from roof, 25. Average heats from lining, 35. Electrodes per ton of steel poured, 33.8 Ib. The thermal efficiency of the furnace is repre- sented by the following formula: ferromanganese, Weight of steel in kilograms xX specific heat of fusion Kwh. used X calories per kwh. Using: Latent heat of fusion as 20; specific heat of steel as 470; specific heat of basic slag as 600; slag equals 1/10 of steel by weight; awd 1 kwh. equals 860 cal. we found: + latent heat Thermal efficiency of furnace, per cent................ 53.0 Total heat utilized in furnace, per cent.............6. 59.5 po ee SG ee ee rere ere ee 53.0 eS I NN i org nine k's dk KA OS Ce ew eek dé es OPS 6.5 Sy OR SO a errr 2.55 Oe eneeney DET QUE. we dvi So cci tee revcdvesic 1.92 po) ae rs ae ne Pee een 1.23 Heat utilized in overcoming cold furnace plus radiation, NE 6 cc uk ax wd ASRS REC UAC RAE Rw Ee wee 34.70 Losses on the cooling rings, electrode holders and trans- formers were obtained as follows: Deg. C. Ne ti: UI a rah edie oa a th in ence Lb ae 19.8 nn Parc. See oe ees a eee a he Veber eae Ree 22.5 OR ee ee nr ee er 26.3 OR EC OS ee re ee se eesence 27.3 Temperature of No. 2 could not be taken, drain pipe in the way. a i rR bi. 2 big caine et ew TRG Wak Wee ek aa eee 31.2 i MS OS oe iv sewek awh Ee was Orallbae Whee 32.7 PE a vada bea canes Das KARA 6 eae aD 32.9 Se e. Seer 1 liter water in 4% sec., or 14 kg. per min. 2. See 1 liter water in 4 sec., or 15 kg. per min. PEO. BD BOE. ccc es 1 liter water in 4% sec., or 14 kg. per min. SR sé. i's Fe ev EOCENE Ce EN Se Cees 43 kg. per min. Transformer: (Temp. HeO to holders — temp. H2O to transformers) X total kilograms equals calories per min. (22.5 — 19.8) 43 equals 116 cal. per min. Holders: (Temp. from holder — temp. to holder) X kg. equals cal. per min. No. 1 (26.3 — 22.5) 14 equals.......cceseees 53 cal. per min. No. 2 (averaged) BOs oe wc cucssids sas 60 cal. per min. No. 3 (27.3 — 22.6) 14 equals........ceeeeee 67 cal. per min. WOE oS cca Kuso tee teed ee sree Dv tba 180 cal. per min. Rings: (Temp, from rings — temp. from holders) X kg. equals cal, per min. No. 1 ring (31.2 S69) 14 COMRIic ci ncces 69 cal. per min. No. 2 ring (32.7 — 22.5) 15 equals.......... 93 cal. per min. No. 3 ring (32.9 $7.8) 14 equala.....ccee 78 cal. per min. ee cc ce amen baeabe be ehur ewes 240 cal. per min. 116 x 60 'ransforme = 8 kwh. Transformer, 360 180 x 60 ; ors —— = 12 h, Holders, 360 1 kwh 240 x 60 . i $ —_— — .6 wh. Rings, 360 16.6 k | Cer ere ree 36.6 kwh. 4000 amp. X 104 volt X 0.90 power fac. X 1.73 650 kw. 8 Transformer loss, 0 = 1.23 per cent Holder los 238 1.93 per cent older loss, $50 — 1+ p 16.6 ss i = 2.5! - cent Ring loss, 0 > 7° »3 per cen Cram GOOOE . 6k ane 5.70 per cent Heat Treatment of Manganese Steel Manganese steel in its raw or untreated condition, as taken from the mold, is as brittle as glass and is not suited for any purpose. The castings are cleaned and loaded on small brick topped cars. These are put into the annealing furnaces, which are so built that the top of the car becomes the bottom of the furnace. These furnaces are oil-fired with the flame jets so arranged that a very even and soft flame is obtained. (Continued on page 109) Brighter Prospects Indicated for 1922 What a Study of Production, Prices, Failures, Finance and Foreign Trade Shows—Activity Evident in Con- struction—Much Depends on Disarmament BY NATHANIEL R. WHITNEY, PH.D.* N the early part of 1921, the author of this article I published a résumé of the business situation in which the obstacles to business revival were out- lined as (a) the unsound economic conditions in other parts of the world; (b) the uncertainty as to prices; (c) the excessive issue of paper currency in European countries; (d) the burden of national debts of the world; and (e) the scarcity of capital. It was said that, “the most significant fact upon which to fix attention in endeavoring to predict recovery is the rate of inter- est for long-time loans. As this rate declines business will improve.” Evidence was presented that the situa- tion was already showing signs of improvement and attention was called to the gradual accumulation of capital. It was predicted that, although improvement had begun, the process of recovery would be slow. Much has happened since that time and the scarcely discernible signs of improvement have now become more clearly marked, but the writer still feels that progress toward recovery will be slow. Anyone who predicts an immediate or rapid return to normal is merely deceiv- ing others and seeking to delude himself. The accu- mulation of capital, increase in output, decrease in costs of production, readjustment of prices for various com- modities to a more normal relation, and elimination or rather reduction of economic and political friction throughout the world—all these require considerable time. It is futile to look for restored prosperity, how- ever, until these requisites are to a considerable extent achieved. But this does not mean that conditions can- not get better—in fact, there is plenty of evidence that they are improving and that they will continue to im- prove. Progress toward normal is not likely to be con- tinuous; there will be an advance, then a halt or down- ward trend in certain industries, followed by another advance, and so on, each complete movement carrying business activity to a constantly higher level. The 1921 Depression in Figures If we divide the business cycle into the customary four sections—prosperity, decline, depression, and re- covery—it is clear that 1920 and the early part of 1921 were in the period of decline. The greater part of the past year was in the depression area, while during the last few weeks of the year the indications pointed to recovery. The year 1921 was one of decline in prices, wages, and profits; of reduction in business activity as shown by bank clearings; of reduced productivity in many lines—iron, steel, bituminous coal, lumber, cotton manufactures. It was a year of record-breaking un- employment and of business failures on a large scale. In short, it furnishes the usual evidence of a period of liquidation. The index for wholesale commodity prices, which in December, 1920, stood at 189, by the end of July had got down to 148. Since that time a slight advance has been noted. Bank clearings for the year up to the end of the first week in December were about 20.5 per cent less than the clearings for the corresponding period of the year 1920. For the first ten months of 1920 and 1921, the index number for production of bituminous coal was 122.5 and 92.3 respectively; for *Professor of finance, University of Cincinnati. receipts of lumber at Chicago and St. Louis 82.5 and 74.3; for pig iron production 133.2 and 58.7; for steel ingot production 126.2 and 59.5; for cotton consumption 116.3 and 96.3. The cotton crop for 1921 was estimated to be the smallest since 1895. The production of copper ranged about 20 for 1921. The production of crude petroleum showed a different tendency since the index for 1920 was 191.5 and for 1921 was 207. It is to be understood that normal production in each case is represented by 100. Gross earnings of 184 railroads for the first nine months of the year were 7.83 per cent less in 1921 than for the same period in 1920. A marked falling off in the value of our foreign trade occurred. For the eleven months ended Novem- ber, exports for 1920 were $7,508,000,000, and for 1921 $4,191,000,000; imports for 1920 were $5,012,000,000; and for 1921 $2,272,000,000. The excess of exports over imports for 1920 was $2,496,000,000, while for 1921 it was $1,919,000,000. The decline in the physical volume of our trade has not been so marked as these figures would indicate for allowance must be made for changes in the price level. Earnings of labor during the year have shown con- siderable reduction although the rate per hour for some groups of labor has not yielded much. The reduction in earnings was due to the elimination of overtime pay, to either a reduced number of working days or complete unemployment, and to reductions in the wage rate for many employees. The Maladjustment in Prices The complete story of changes in the price level would not be told unless attention were directed to the uneven decline for different groups of commodities. The following table illustrates these