Luxembourg-based steelmaker ArcelorMittal plans to end steel production at its Duisburg-Ruhrort site in Germany from October 2027, closing its steelmaking plant, continuous casting facility and billet rolling mill, while maintaining operations at the site's wire rod mill, SteelOrbis has learned from the German Association for Secondary Raw Materials and Waste Management (bvse).
The plan, which still requires approval from ArcelorMittal's supervisory board, is expected to affect around 550 of the approximately 800 jobs at the Duisburg site.
Wire rod mill to remain operational with external billet supply
Following the shutdown of steelmaking operations, ArcelorMittal intends to continue operating its Duisburg wire rod mill using billets supplied by other group facilities and external producers. ArcelorMittal's Hamburg plant is also expected to supply billets to Duisburg.
The planned closures are linked to the expiry of ArcelorMittal's long-term pig iron supply agreement with thyssenkrupp Steel. The agreement, under which thyssenkrupp has supplied liquid pig iron to Duisburg since 1997, will expire at the end of September 2027.
ArcelorMittal announced the termination of the agreement in December 2024, citing significantly increasing carbon costs. The company subsequently explored alternative sources of pig iron at more competitive conditions but was unable to secure a viable supply arrangement.
EAF option found economically unviable
ArcelorMittal also examined the possibility of converting steel production at Duisburg to an electric arc furnace (EAF)-based route, but concluded that the option was not economically viable. The company additionally cited the difficult conditions facing the European steel industry and high production costs among the reasons for its decision.
Discussions regarding a social plan for affected employees are expected to begin in September, while employee meetings are scheduled for September 7 to discuss the planned closures.