Liberty Galati postpones restart of blast furnace No. 5

Romanian steelmaker Liberty Galati has not yet resumed production at blast furnace No. 5, despite previous statements that it would happen on April 22. This was reported by Vieția libere.

According to the publication, the restart was announced several times, each time postponing the deadline. The new planned date of the restart is May 9. However, this deadline is unlikely to be met due to technical problems and insufficient raw material reserves.

The plant’s only working blast furnace was shut down ten months ago.

At the end of last week, a Liberty Galati spokesman told Vieția libere that steelworkers’ salaries have been paid. The severe recession in the European steel market has affected the company and all producers in Europe, but with the support of the Romanian authorities, the company continues to take all measures to resume operations as soon as possible.

In March of this year, it was announced that Liberty Galați would receive government support to resume operations. According to Romanian Minister of Economy Bogdan Ivan, the company will play an important role in providing raw materials to defense industry plants, including those in Brasov, Cuzhiru, Sad and Dragomirteş.

On March 5, the court ruled to introduce a preventive process at the company, which provides temporary protection from enforcement of debts. The plant has two months to present a restructuring plan to its creditors. As reported, the plant is in difficulties due to the consequences of the war in Ukraine, high energy prices and large volumes of imports from outside the EU, as well as new US tariffs on steel imports.

Liberty Galati is one of the largest steel producers in Romania, employing 4.5 thousand people and having an annual capacity of 3 million tons of steel.