Italy's largest flat-rolled steel producer Arvedi has applied to participate in the ArcelorMittal and CLN (AMCLN) joint venture after the Italian government applied its so-called golden force rules to impose conditions on ArcelorMittal's plan to acquire the remainder of the automotive steel joint venture with CLN-Coils Lamiere Nastri, according to the two a person familiar with this issue. ,
,ArcelorMittal has decided to abandon its planned acquisition of the remaining 51% of shares, which opens up the opportunity for local competitor Acciaieria Arvedi, currently Italy's largest manufacturer of rolled products, to take over not only this share, but also the entire AMCLN, the sources said.
This decision completes a ten-year partnership between ArcelorMittal and one of the leading Italian distributors of automotive steel. It was adopted due to the fact that the Luxembourg-based group is still in a separate dispute with Rome over the nationalization of its former Ilva plant, which was once Italy's largest producer of rolled products.
ArcelorMittal and CLN formed the ArcelorMittal CLN Distribuzione Italia joint venture in 2015 as ArcelorMittal sought to expand its position in Southern Europe, a strategy cemented in 2018 with the acquisition of Ilva.
ArcelorMittal initially agreed to acquire the remaining 51% of the company's shares, which it did not yet own. The European Commission approved the broader deal at the end of April 2026, stating that "it was compatible with the domestic market."
Rome, however, used its golden power framework — legislation designed to protect companies deemed strategically important to the national interest —to set conditions for the takeover, including a requirement that the government approve the company's restructuring and commit itself, according to the people.
Faced with these conditions, and amid an unresolved standoff with the Italian government over the nationalization of its former assets in Ilva, ArcelorMittal decided not to restructure.
The dispute over Ilva, once Europe's largest steel mill, has had an impact on ArcelorMittal's broader Italian strategy for several years amid disagreements with Rome over production volumes, environmental remediation and the ownership structure of the plant.
Acciaieria Arvedi declined to comment, and ArcelorMittal did not respond to a request for comment.
By Anna Lisa VillaSpglobal.com,
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