ArcelorMittal to partly close Belgian plant

ArcelorMittal, the world’s biggest steel company, announced yesterday that it would permanently close parts of a factory in Liège, because of lack of demand, and said 1,300 jobs would be lost, writes the New York Times’ David Jolly. The Liège business is heavily dependent on the automotive sector, which is a severe handicap in the current environment. Vehicle sales in the European Union fell 8.2% last year, according to the European Automobile Manufacturers’ Association, and sales are expected to decline again this year. The company said it would close six production lines at Liège that make finished steel products for the auto industry. It is also closing a coke plant, where fuel for blast furnaces is produced. The announcement marks the latest shrinkage of production capacity at the Liège facility. ArcelorMittal said in October 2011 that it would close a liquid-phase steel production facility at the site. The company said it would continue operating five other lines, employing about 800 people, because they “are strategic due to their dedicated high-quality products, specialised processes and technological innovation”. The MWB-SETCa union called for the plant to be nationalised, saying that the company had broken its agreements with workers and was preparing “even worse announcements”. ArcelorMittal said it was “committed to finding a socially acceptable solution for all those affected”, with measures including “the possibility of reallocation to other sites within the group”.