Marcegaglia is investing €1 billion in a steel plant in France

The Italian steelmaker Marcegaglia, together with Danieli, has signed an agreement to build a new steel mill in Fos-sur-Mer (France). The contract is worth approximately €450 million, and the total investment in the Mistral project is estimated at around €1 billion.

This is one of the largest projects in Marcegaglia’s history. The company aims to strengthen control over raw materials, reduce dependence on external suppliers, and increase the production of higher-value-added products.

Once operational, the facility will be able to produce over 2 million tons of steel per year using electric arc furnace (EAF) technology and up to 3 million tons of hot-rolled coil (HRC). The product range will include both carbon and stainless steel. The plant is expected to meet about 35% of Marcegaglia’s demand for coils and slabs, which will mainly be supplied to its plants in Italy.

The project also has an environmental component. The plan is to use scrap metal, low-carbon DRI, and energy from nuclear and renewable sources. This will reduce CO2 emissions by up to 80% compared to traditional steel production.

The new plant will meet modern European environmental and safety standards thanks to automation, efficient use of resources, and energy-saving technologies.

A final decision on the investment is expected by the end of 2026, following the completion of approvals with the French authorities.

As a reminder, Marcegaglia previously announced a €364 million investment in its production facilities in Italy. The largest portion of the funds—€278 million—will be allocated to modernizing the plant in Ravenna. An additional €20 million will be invested in research and development. The remaining investments will go to facilities in Gazoldo degli Ippoliti and San Giorgio di Nogaro.