Polish Ministry of Defense acquires Gut Czestochowa
The Polish Ministry of Defense has finally acquired the manufacturer of armored plates Huta Czestochowa and plans to receive a certificate for armored plates in January, Kallanish notes.
The Ministry has been working on the takeover since the state-owned company Weglokoks acquired the then-insolvent former sheet-rolling mill owned by Liberty on a lease in November 2024. The rolling mill and, a few weeks later, the electric arc furnace were restarted in January after a long period of downtime.
At the signing ceremony on Monday, an agreement of intent was also signed between the Polish arms company Huta Czestochowa and Wegkoloks in order to use the Czestochowa plant's capabilities to supply defense industry products.
The assets of the sheet metal plant will be transferred to the Polish Military Property Agency.
"We have an important task ahead of us – to turn Gutu Czestochowa into the best steel mill in Poland, using its enormous potential. I would like to thank the management and staff for what you have achieved over the past few months. You have launched new production facilities, found contractors, and the contracts for next year are largely secured," said Polish Defense Minister Wladyslaw Kosiniak — Kamysh.
This acquisition is a "historic" moment for the safety of Polish industry, he adds.
Although Polish industry leaders have repeatedly stated that they oppose the nationalization of the country's steel industry, the current geopolitical climate has highlighted the importance of defense and local steel production, especially in Poland, a country in close proximity to the war in Ukraine and with a history of suffering caused by its neighbors.
Huta Czestochowa has stated that it plans to produce 300,000 tons of steel in 2025 and increase this figure to 500,000 tons in 2026 (see Kallanish passim). The capacity of the company's electric steelmaking plant is 700,000 tons of steel per year, and the design capacity of the thick-sheet mill is 1.2 million tons per year.
.Author: Adam Smith
Kallanish.com