Austrian steelmaker Voestalpine will reduce its workforce and scale back operations at two of its Austrian sites, attributing the move to sustained pressures from US import tariffs, weak demand in the automotive sector and climbing energy and labor costs, according to a report by Reuters citing a statement made by company CEO Herbert Eibensteiner.
Accordingly, approximately 280 full time and 60 temporary jobs will be affected at its Kindberg and Mürzzuschlag plants in the province of Styria. The move is part of a restructuring program designed to counter market challenges that have weighed heavily on the group’s performance. Operations at the Kindberg plant will shift from three-shift to two-shift production beginning in January 2026, reflecting a decrease in order volumes as this location was particularly impacted by US steel import duties, which have reduced competitiveness for exports into the American market.
Meanwhile, the company has announced its financial results for the first half ended September 30 of the financial year 2025-2026. The company has posted a net profit of €199 million for the first half, up by 8.6 percent year on year. In the given period, the revenues of the company amounted to €7.6 billion, down five percent, while its EBITDA was €722 million, rising by 0.5 percent, both year on year.
The company expects its EBITDA to be at the range of €1.4-1.55 billion in the financial year 2025-2026. Voestalpine stated it expects the first positive effects of its restructuring measures to materialize by the end of the financial year, yet it acknowledged that near-term economic relief remains unlikely. With production volumes under pressure, the company is seeking to align capacity more closely with persistent market headwinds.