European steel maker Arcelor is planning to cut its steel
production by 50'000-60'000 tons during the next three months. There is a rumour in the European steel market that the other
stainless mills are going to reduce their
production too.
The company pointed out that the mills have to be adapted due to low demand in the market. On top of this, the
stainless steel imports into
Europe have been attracted by strong Euro.
In additon, Arcelor is aiming to preserve its current price levels by reducing
production.
Arcelor's division Ugine & ALZ which is located in
Luxembourg and have an annual capacity of 1.3 mt, is going to reduce
production by 70% at its mills in Genk,
Belgium; L'Ardoise and Isbergues,
France next month. However, the August's figures have not been decided by the company yet.
Similarly,
Germany's Thyssen Krup
Stainless also considers to reduce
production at its Italian subsidiary AST. Finnish
stainless steel maker Avesta Polarit and Spanish
stainless steel maker Acerinox will also follow with
production cuts.