ArcelorMittal Poland has announced the permanent closure of their Huta Królewska plant in Chorzów.
270 employees will be affected by the closure, with the company starting efforts to find other jobs for the staff.
CEO of ArcelorMittal Poland, Wojciech Koszuta, said: “This was an extremely difficult decision, taking into account the legacy and history of Huta Królewska. We are aware that this is the end of a historical chapter for the employees, and all those who are passionately connected to the steelworks.
“As a company, in recent years we have taken many actions to maintain production in this plant, but a combination of several external negative factors wiped out the impact of all our efforts. I would like to thank the employees of Huta Królewska for their conscientiousness, dedication and diligence, and to assure them that everyone who wants to continue working at ArcelorMittal Poland will find a place in our company.”
Before deciding to shut down the plant, the company invested PLN 30m (~$8m) into the site in an attempt to maintain production, including projects aimed at expanding product quality and their portfolio. ArcelorMittal also attempted to find a strategic investor and establish a joint venture.
COO of long products at ArcelorMittal, Marek Kempa, added: “Although Huta Królewska manufactures specialised products, its share in the total volume of ArcelorMittal Poland's production amounts to less than 1 percent. Also, the age of the installations means that in the coming years it will be very challenging to ensure safe working conditions for our employees.
“Significant financial outlays are necessary, which we cannot incur in the current, difficult situation of the steel sector in Europe, as it would be economically unjustified.”
Production at the plant is set to end in December 2025.
