ArcelorMittal considers closing specialist unit in Ghent, 90 jobs at risk
ArcelorMittal is considering closing a specialised production unit at its steel plant in Ghent, the company confirmed on Thursday after an extraordinary works council meeting. Trade unions say around 90 jobs could be affected.
The unit, called Tailored Blanks, makes semi-finished steel products by welding together different types and thicknesses of steel. These products are mainly used by car makers for bodywork and structural parts.
In a statement, ArcelorMittal said it had started a formal information and consultation process with unions about the future of the unit. The company said the Ghent operation faced “serious challenges”, including a sharp fall in production volumes and much lower profit margins. These problems have led to losses over several years.
Because of this, the company is considering closing the site. Talks are taking place under Belgium’s Renault law, which sets out rules for consultation in the event of possible closures. No final decision has been made.
CEO Sibel Onen said it was a difficult time for staff and promised open and transparent communication throughout the process.
The possible closure comes amid wider pressure on the Ghent site, which depends heavily on the European car industry. Demand has weakened, while costs and international competition have risen. The plant is also still awaiting decisions on major green investments needed to cut CO2 emissions.
Around 4,500 people work at ArcelorMittal’s Ghent site. In Belgium, the group employs nearly 5,900 people.
#FlandersNewsService | © BELGA PHOTO KURT DESPLENTER
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