ArcelorMittal has unveiled a restructuring plan for its Spanish steel refining division within the Downstream Solutions (AMDS) division, Kallanish notes.
The company will close its production line in Legasa, Navarre, and move production to the Salvatierra plant in Alava.
This decision was made against the backdrop of the continuing challenges faced by the automotive and industrial sectors, which are compounded by the broader crisis in the European steel industry.
"Our industry is going through very difficult times," says Juan Pablo Canullo, Executive Director of AMDS in Spain. "Despite significant efforts aimed at increasing the competitiveness of our division, we have come to the conclusion that concentrating production on one site is the right decision for the long-term future of the business. We will work with the unions to ensure that all affected employees are supported during this time."
ArcelorMittal has initiated negotiations with unions on Legasa and Salvatierra processing lines to implement a social plan aimed at minimizing the impact on workers, including employee relocation and early retirement. The company confirms that the reorganization will not affect the Legasa flat-roll line of organic coatings.
