ArcelorMittal to Suspend Blast Furnace B in Ghent Steelworks

SEATTLE (Scrap Monster): Luxembourg-based steelmaker ArcelorMittal announced that the blast furnace B at its Ghent, Belgium plant will remain out of service for a period of two to three months.

The blast furnace will be idled in September for a reline, after building up sufficient slab supply, said the company press release. It must be noted that the furnace has a production capacity of 2.3 million tonnes per annum. The reduced supply from the mill on account of blast furnace shutdown is expected to support coil prices.

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Also, ArcelorMittal announced the decision to halt its steel mill 1 in Taranto, Italy beginning tomorrow, until end-march this year. As a result, 250 out of the total 457 employees will be laid off. The remaining employees will be shifted to steel mill 2. Also, a part of the production of steel mill 1 will be moved to steel mill 2. The change in production structure is mainly on account of poor raw material supply situation.

Meantime, the unions raised opposition to the company’s decision, saying that temporary transfer of production to steel mill 2 is likely to give rise to safety and environmental challenges. They called the move as ‘a unilateral initiative’ by the company and asked for immediate suspension of the same.