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Italian steel company plans to increase steel production to 4 million tons per year amid government-led restructuring

Europe / Ferrous metallurgy
Struggling Italian steel producer Acciaierie d'Italia (ADI) plans to increase steel production at its Taranto plant
Italian steel company plans to increase steel production to 4 million tons per year amid government-led restructuring

Struggling Italian steel producer Acciaierie d'Italia (ADI) plans to increase steel production at the Taranto plant to a production capacity of 4 million tons per year by April 2026, the company said in a statement released on Wednesday, February 11.

AdI (formerly ILVA) plans to restart the No2 blast furnace within the next few days, according to a press release.

At the same time, on February 28, the company will begin scheduled maintenance at treatment plant No. 4, which will last about 60 days. In addition, at the same time, the company will resume operation of coke batteries 7,8 and 12, which were recently temporarily stopped for maintenance.

The restart of DP No. 2 (installed capacity - 2 million tons of pig iron per year) and the subsequent restart of DP No. 4 (installed capacity - 2.3 million tons of pig iron per year) will allow AdI to increase steel production to about 4 million tons per year, the company said.

AdI is the largest steel producer in Italy, with an installed capacity of 8 million tons of pig iron per year and 10 million tons of crude steel per year. But in 2023, the steel mill managed to produce only 3 million tons of steel, which is below the target of 4 million tons. According to market sources, the company produced less than 2 million tons of steel in 2024. The company had equipment for the production of hot-rolled coils, cold-rolled coils, galvanized coils, thick sheets and pipes.

As for other PDMS, industry sources reported that PDM No. 3 has been completely decommissioned, while PDM No. 5, the largest of them, with a capacity of 3.7 million tons per year, will require significant investments and efforts for reconstruction.

As of February 2026, Bunker No. 1 is still under judicial arrest and cannot be operated. It was closed after a fire in May, as a result of which a Taranto court judge ordered a more thorough investigation. On Thursday, February 12, the Taranto court rejected the request for the release of BF No1 from custody, local media reported.

The Italian government took over the management of AdI in February 2024, removing ArcelorMittal from operational management, Fastmarkets reports

"Since February 2024, more than 997 million euros ($1.19 billion) have been allocated for maintenance and industrial investments, which confirms the commitment of the Emergency Administration to ensure the full functionality of the facilities," the press release says.

ADI was officially put up for sale by the Italian government in August 2024.

The sale process is unfolding against the backdrop of a long-running dispute between ArcelorMittal and the Italian state over the management and alleged expropriation of former

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