Italian steelmaker Arvedi S.p.A. is set to carry out an €82.5 million investment program at its Cremona steelworks, aimed at strengthening the site’s technological capabilities and expanding production toward higher value-added steel grades for electrification and automotive applications.
Italy’s Ministry of Enterprises and Made in Italy has authorized state-owned investment agency Invitalia to sign a development agreement in support of the project, named ARVES. Public incentives may amount to up to €22.5 million, subject to the assessment procedure to be carried out by Invitalia on behalf of the ministry.
The investment will focus on the development of non-grain-oriented electrical steel, or NGO steel, a strategic product used in the cores of electric machines, including motors and generators. The grade is particularly relevant for industries linked to electrification, as it is designed to improve magnetic performance and energy efficiency in applications where magnetic flux changes direction continuously.
In addition to the new product line, the project includes the introduction of technologies for the recovery and treatment of secondary raw materials, as well as the revamping of the vacuum treatment plant for liquid steel. Arvedi will also carry out research and development activities for the production of lower-environmental-impact steels for the automotive sector.
According to the ministry, the project is considered strategic for the competitiveness of Italy’s manufacturing system and for the sustainable development of the Cremona area. The investment is also expected to have positive effects on employment.
The move strengthens Arvedi’s positioning in advanced flat steel products at a time when demand from electric mobility, energy efficiency and automotive supply chains is increasingly driving investments in specialized steel grades. The Cremona site is therefore expected to play a greater role in the domestic and European supply of steels linked to the energy transition.
Arvedi closed 2024 with consolidated revenues of €5.7 billion and a net profit of €92 million, compared to revenues of €6 billion and a net profit of €235 million in the previous year.