According to an interview with Giovanni Arvedi in Italian business newspaper Il Sole 24 Ore, Cremona-based Italian steel producer Arvedi Group will achieve €3 billion in sales revenue within a couple of years thanks to its efforts made in the direction of technological innovation. In 2011, Arvedi's sales revenues reached €2.34 billion, with an increase of 29 percent year on year.
"Without technology we would not be competitive, and if there is a future for Italian steelmaking it is going to be provided by high value-added products," stated Mr. Arvedi. Accordingly, the company, which has already developed endless strip production (ESP) technology, spent over €700 million between 2008 and 2010, taking on 700 new employees, in order to create a state-of-the-art steelmaking center.
According to Mr. Arvedi, the key negative factors facing the Italian steelmaking industry are the cost of energy, inadequate infrastructure, and low flexibility in the labor market. He also proposed a complete liberalization of the market for electricity supply, so that Italian companies would be free to choose their suppliers on a continent-wide basis.
From a commercial point of view, Arvedi went on to state that Italy needs to export high value-added products to boost economic growth. Meanwhile, the real worry is the likelihood of a general economic downturn in all of the EU states, as the euro area is quickly losing its competitiveness, not only compared to developing countries but also compared to the US. He continued, "This is why Europe needs a joint approach in order to readjust its currency exchange, aiming at a euro-dollar equilibrium which would boost European exports." He also stated that Arvedi Group is fairly active on the export side as it is a supplier of Germany-based automotive giants such as Volkswagen and BMW.