Acciaierie d’Italia comes under special management

Acciaierie d’Italia, a joint venture between ArcelorMittal and state-owned Invitalia, is going into special administration. The government is working on defining the terms and conditions of the procedure, RaiNews reports.

During a meeting with trade unions and companies involved in the supply chain, Italian authorities said that the government would appoint emergency commissioners for ADI as soon as possible, and that a takeover would take place to ensure continuity and resumption of operations at Acciaierie d’Italia’s plants.

According to the Minister of Enterprises and Production Adolfo Urso, the procedure will start with one commissioner, who, according to the government, should become a “bridge” for new private investors after Arcelor Mittal’s suspension. According to Urso, Italian and foreign investors are interested in the tender for the former Ilva.

Meanwhile, according to Bloomberg, ArcelorMittal is protesting the Italian government’s decision to introduce a special administration at the country’s largest steel plant, claiming that it may be a violation of the investment agreement.

According to a letter from the corporation obtained by the publication, the company was not informed of Invitalia’s decision to request a special administration for the Taranto plant. It is noted that in recent weeks ArcelorMittal has been working with the government to try to reach an agreement on an orderly exit from the plant.

Rome argues that Acciaierie d’Italia is a vital national asset, which subjects the plant to state powers that allow the government to take precedence over private investors and introduce a special administration at the enterprise.

As GMK Center reported earlier, Acciaierie d’Italia (ADI) produced 3 million tons of steel in 2023. According to ADI CEO Lucia Morselli, the company’s stocks currently reach 1 million tons of raw materials and finished products. In addition, the company sold 2.5 million tons, but the period during which sales were secured is not specified.