Polish steelmaker Alchemia S.A. has decided to sell its steel pipe subsidiary Rurexpol in Częstochowa, due to unfavorable market conditions, according to local media reports.
Taking into account the downturn in the European steel industry that led to a decrease in demand for the products that the subsidiary in question produces, along with its old technology and high costs, the company expects that it will be unable to compete in the pipe market in the future. Also, Alchemia considers that expenditure on modernization of Rurexpol is unjustified from the technological and economical perspective.
As SteelOrbis reported previously, in May this year the company had announced its decision to sell off its seamless pipe subsidiary Walcownia Rur Andrzej (WRA) due to the similar reasons.
