Romania’s ArcelorMittal Hunedoara To Cease Production Due To Econ Crisis

“The plant will cease its production in the next days. The last time this plant has stopped its production was back in the 30’s when the economy was as well hit by a major crisis,” the company’s general manager Remus Patan said Tuesday.

Last week, ArcelorMittal, the world’s number one steel company, said it will cut production by 30% in the fourth quarter, in response to the glooming international economy conditions, which triggered a demand slump.

Patan said that the company will not be shut down, and the production will be probably resumed in December.

“At the moment, we do not have a minimum number of orders,” Patan said.

Patan said that the company would not lay off any of employees by the end of the year.

ArcelorMittal owns in Romania four steel plants, namely ArcelorMittal Tubular Products Roman, ArcelorMittal Galati, ArcelorMittal Tubular Products Iasi and ArcelorMittal Hunedoara, the harbor operator Romportmet Galati, as well as the local unit of construction company ArcelorMittal Construction.

Last week, representatives of ArcelorMittal Galati, Romania’s largest steel mill, also said they are cutting production and postponing investments.