Latest news with #SteelandMetalsActionPlan
Yahoo
02-06-2025
- Business
- Yahoo
Trump tariffs deals major blow to European steelmakers, Salzgitter CEO warns
By Tom Käckenhoff and Christoph Steitz DUESSELDORF/FRANKFURT (Reuters) -Salzgitter, Germany's second-biggest steelmaker, on Monday warned that Washington's tariff policy was dealing a severe blow to European industry, after the U.S. administration unveiled plans to double steel import levies to 50%. According to Germany's steel association, the United States accounted for around a fifth, or 4 million tonnes, of European steel exports outside of the EU, making it the sector's most important export market. "The erratic tariff policy of the USA is hitting Europe's economy hard - especially Germany," Salzgitter CEO Gunnar Groebler said in a statement. Groebler said that apart from the direct tariffs on exports to the United States, there was also increased import pressure on the EU market as a result of rising volumes of cheaper Asian steel in Europe. Asian steel has been flooding the European market for years and the fear of that trend intensifying due to the U.S. tariffs has been the biggest headache for Europe's sector, in addition to high energy prices. In response to those fears, the EU on April 1 tightened steel import quotas to reduce inflows by a further 15% as part of its so-called European Steel and Metals Action Plan. Shares in Salzgitter fell along with larger European peers Thyssenkrupp and ArcelorMittal, all down between 0.6 and 1.8%. Just 4.5% of Salzgitter's sales come from its U.S. business, with its non-steel technology division accounting for half of that. Thyssenkrupp has previously said that the United States accounts for less than 5% of its steel exports. Thyssenkrupp did not immediately respond to a request for comment. "An increase in steel import duties in the USA to 50% should prompt the EU Commission to accelerate its efforts to implement the measures under the Steel and Metals Action Plan," Groebler said. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Business Recorder
02-06-2025
- Business
- Business Recorder
European industry hit hard by Trump tariffs, Salzgitter CEO warns
DUESSELDORF/FRANKFURT: Salzgitter, Germany's second-biggest steelmaker, on Monday warned that Washington's tariff policy was dealing a severe blow to European industry, after the U.S. administration unveiled plans to double steel import levies to 50%. 'The erratic tariff policy of the USA is hitting Europe's economy hard - especially Germany,' Salzgitter CEO Gunnar Groebler said in a written statement. Shares in Salzgitter fell along with larger European peers Thyssenkrupp and ArcelorMittal , all down between 0.5 and 2.1%. Groebler said that apart from the direct tariffs on exports to the United States, there was also increased import pressure on the EU market as a result of rising volumes of cheaper Asian steel in Europe. Steelmakers in South Korea, Vietnam tumble on Trump's new tariffs According to Germany's steel association, the United States accounted for around a fifth, or 4 million tonnes, of European steel exports outside of the EU, making it the most important export market. 'An increase in steel import duties in the USA to 50% should prompt the EU Commission to accelerate its efforts to implement the measures under the Steel and Metals Action Plan,' Groebler said.
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Business Standard
30-04-2025
- Business
- Business Standard
AM/NS India Q1 results: Ebitda down 67.6% to $101 mn, sales drop 20.2%
ArcelorMittal Nippon Steel India (AM/NS India) on Wednesday reported a 67.6 per cent drop in earnings before interest, tax, depreciation and amortization (Ebitda) at $101 million in the January-March quarter from $312 million last year. This was due to lower steel shipments and unfavourable market conditions. Sequentially, Ebitda was 24.1 per cent lower from $133 million in the December quarter. Sales during the quarter stood at $1.45 billion, down 20.2 per cent from the year-ago period at $1.81 billion. The company said that sales decreased by 8.6 per cent from $1.6 billion in the previous quarter primarily due to a 12 per cent decline in steel shipments. Shipments were impacted by planned maintenance and unfavourable market conditions which have been subsequently addressed by safeguard measures, it added. Steel shipments in the quarter were at 1.88 million tonne (mt), falling 6.6 per cent lower than the year-ago period. Steel production at 1.68 mt was down by 15.1 per cent a year back. ArcelorMittal said the first phase of AM/NS India's expansion at Hazira to 15 mt was 'on track' with completion expected by the end of 2026. Further plans were under development to build a 2.5 mtpa compact strip production mill to increase Hazira production capacity to 18 mtpa, the company said. ArcelorMittal, the world's second largest steelmaker, reported quarterly Ebitda of $1.58 billion, down 19.2 per cent from the year-ago period at $1.96 billion. Sales of $14.8 billion were lower than $16.28 billion last year. Steel shipments at 13.6 mt was near-flat compared to 13.5 mt in the same period last year. The global steelmaker cautioned about trade disruptions. In a statement, ArcelorMittal's Chief Executive Officer, Aditya Mittal, said heightened uncertainty around the terms of global trade is hurting business confidence and risks causing further economic disruption if not quickly resolved. However, he said, it was encouraging that governments around the world were committed to supporting their domestic manufacturing industries. "In the US, Section 232 tariffs are supporting higher prices and spreads, and in Europe the Steel and Metals Action Plan is a much needed and important signal that Europe will take action to support strategically important industries like steel from unfair competition,' he added.
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Business Standard
30-04-2025
- Business
- Business Standard
ArcelorMittal Q1 income dips 14% to $805 mn as sales drop 9% to $14.79 bn
Global steel giant ArcelorMittal, which also has presence in India, on Wednesday posted over 14 per cent fall in net income at USD 805 million for the first quarter ended March 31, 2025, dragged by lower sales amid global geopolitical challenges. It had posted USD 938 million "net income attributable to equity holders of parent" for the year-ago quarter, the company said in a statement. Luxembourg-based ArcelorMittal is the world's largest integrated steel and mining company. It follows January-December fiscal year. CEO Aditya Mittal said from a financial perspective, it was another quarter of consistent delivery and robust margins, particularly given the geopolitical challenges, with EBITDA of USD 116 per tonne. "We continue to execute our strategic growth agenda which is expected to deliver an incremental USD 1.8 billion EBITDA by 2027," he said. Mittal further said that heightened uncertainty around the terms of global trade is hurting business confidence and risks causing further economic disruption if not quickly resolved. It is encouraging however that around the world, governments are committed to supporting their domestic manufacturing industries. In the US, Section 232 tariffs are supporting higher prices and spreads, and in Europe the Steel and Metals Action Plan is a much needed and important signal that Europe will take action to support strategically important industries like steel from unfair competition, he said. According to a company statement, its crude steel production during the March quarter increased marginally to 14.8 million tonne (MT) from 14.4 MT in the same period in 2024. Sales in Q1 2025 were at USD 14.79 billion, as against USD 16.28 billion in the year-ago period, a fall of over 9 per cent. Steel shipments in first quarter of 2025 were 13.6 MT, against 13.5 MT in Q1 2024. In India, ArcelorMittal in joint venture with Nippon Steel of Japan owns and operates about 9 million tonne steel plant in Gujarat. ArcelorMittal said the development of AMNS India continues to gather momentum. The phase 1 expansion of Hazira to 15 MT by the end of 2026 remains on track. AMNS India Sales in Q 1 2025 decreased to USD 1.44 billion from USD 1.81 billion in Q1 2024, and USD 1.6 billion in Q4 2024, primarily due a 12 per cent decline in steel shipments (in part impacted by planned maintenance but also unfavourable market conditions which have been subsequently addressed by safeguard measures). EBITDA during Q1 2025 declined to USD 101 million as compared to USD 312 million in Q1 2024, and USD 133 million in Q4 2024, driven primarily by lower steel shipments. The steel player further said land acquisition has commenced in Rajayyapeta, Andhra Pradesh, where a 7.3 MTPA state-of the art integrated greenfield steel plant project is planned for execution by AMNS India.
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Business Standard
30-04-2025
- Business
- Business Standard
ArcelorMittal warns of trade disruption despite strong quarterly profit
ArcelorMittal shipped about 13.6 million tons of steel in the first quarter, slightly up from the year-ago period Reuters ArcelorMittal, the world's second-largest steelmaker, reported first-quarter core profit above market expectations on Wednesday, helped by a strong performance in Liberia, despite geopolitical challenges. The Luxembourg-based company reported quarterly earnings before interest, taxes, depreciation and amortisation (Ebitda) of $1.58 billion, beating analysts' consensus estimate of $1.55 billion provided by the company. ArcelorMittal shipped about 13.6 million tons of steel in the first quarter, slightly up from the year-ago period. In Liberia, the group achieved record iron ore production at 8.4 million tons and shipped some 8 million tons of iron ore in the quarter, up 29.2 per cent and 27 per cent year-on-year respectively, driven by operational improvements. Delays in resolving trade disruptions could weigh on the group's initial 2025 steel consumption forecasts particularly for the US and China, the group said. The group previously said it expected 2025 global steel demand growth of 2.5 per cent to 3.5 per cent, excluding China, the world's top consumer and producer of the metal. ArcelorMital's steel outlook comments echoed Swedish peer SSAB, which said it expects a more uncertain outlook for its steel divisions due to tariffs. Still, the group said steel spreads in Europe have rebounded from unsustainably low levels, with the outlook bolstered by the European Commission's Steel and Metals Action Plan. ArcelorMittal reaffirmed its 2025 capital expenditure outlook, maintaining its investment forecast in the range of $4.5 billion to $5.0 billion for the year.
