3,500 JOBS AT RISK

ArcelorMittal South Africa (AMSA) will shut down its long steel business, centred around the Newcastle mill, leading to up to 3,500 job losses. 

AMSA cited unsustainable energy and logistics costs, cheap steel imports (especially from China), and government inaction despite calls for policy support. The wind-down will affect all long steel plants, including Newcastle Works and Vereeniging Works.

Steel production will end by January 2025, with full closure by March 2025. AMSA expects R2.7-billion in asset impairment and retrenchment costs, worsening its projected annual losses. 

AMSA’s revenue is forecast to drop 5% in 2024.

(Pictured—Kobus Verster, CEO of ArcelorMittal South Africa)