Abstract: A process for producing a fully processed nonoriented silicon sheet steel having excellent magnetic properties in the rolling direction wherein a steel containing 2.0 to 3.5% silicon and 0.30 to 0.45% aluminum is hot rolled to hot band gage, pickled, and cold rolled with a two-step cold roll with an intermediate anneal such that the second cold roll effects a thickness reduction to 50 to 60%. The cold rolled steel is then decarburized annealed and final annealed according to conventional practices.