In this study, an updated Lagrangian large deformation finite element method is developed for solving the metal forming problems with an incrementally objective mid-interval integration algorithm. A numerical simulation of fine-blanking process is hence performed to predicate the strain localization and to investigate the failure mechanism of fine-blanking process. Using the numerical result, The stress and strain fields de­veloped in the fine-blanking process as well as the large deformation elasto-plastic finite element im­plementation for solving axisymmetric strain localization problems are discussed.