Brussels, 20/02/2013 (Agence Europe) - The steel group ArcelorMittal has committed to suspending any decision on restructuring and plant closure until June when the European Commission presents its action plan for steel.
The global steel group located in Luxembourg, ArcelorMittal, made several commitments to the European Commission on 19 February - on the one hand, not to proceed with new restructuring in Europe until the Commission presents its action plan for the steel sector (which is promised for June), and on the other hand, to invest €180 million and €140 million respectively in its French site in Florange and in its Belgian site in Liège so as to modernise the sites to become specialised in high end products for sectors such the automobile or packaging sectors.
European Commissioner for Industry, Antonio Tajani, last week made a personal appeal to the ArecelorMittal group to postpone its decision to close sites in Europe while awaiting the Commission's presentation of an action plan - an appeal for which Tajani received a flat refusal.
A meeting with Tajani in Brussels on Tuesday made the CEO of ArcelorMittal, Lakshmi Mittal, decide “to give the Commission a chance”, as the Commission confirmed on Wednesday. The Indian steel magnate received assurances from Tajani that the Commission, governments and unions will contribute “constructively” to the development of an ambitious action plan for steel.
Tajani immediately hailed this as “a step in the right direction”, stating however that he was waiting for “governments and unions to make this step too”. “Overcoming the crisis of the steel sector is a collective task”, Tajani stressed yesterday. Although ArcelorMittal's commitment is “very good news” for over 98,000 of its employees in Europe and its 3,000 employees in Florange and Liège, “it's now up to the Commission to take its responsibility”, a Commission spokesperson stressed on Wednesday. “Despite the difficulties and the international situation, our continent needs a strong steel sector”, he added, recalling the existence of recommendations prepared last week by Tajani, the ministers of the 15 member states, and representatives from the industry and unions, covering specific areas - including R&D, energy, trade, employment, etc. (our translation throughout).
ArcelorMittal's last restructuring announcement in January, with the closure of steel transformation lines on the Belgian site in Liège, provoked an outcry only a few months after its confrontation with the French government about Florange. At the beginning of February ArcelorMittal, in difficulty in Europe, unveiled a loss of $3.73 billion for 2012. (EH/transl.fl)