ArcelorMittal to Cut Production Up to 15%

Oct. 17, 2008
Fall in demand

The world's largest steelmaker, ArcelorMittal, said on Oct. 17 it was cutting production and could ultimately reduce output by as much as 15% because of weakening demand.

"In the face of a fall in demand we are in the process of reducing production, which could reach as much as 15%," an ArcelorMittal spokesman said, adding the move would be "temporary."

"This reduction will not be uniform across all our markets" but will have a greater impact "on areas where demand has fallen the most," the spokesman said.

The output cut is likely to boost the price of steel at a time when global demand had been dampened by a worldwide economic slowdown.

ArcelorMittal announced on Oc t. 14 that it was reducing production in Poland by 10%-15% from 2007 levels.

The group said in in September that it foresaw growth of 3%-5% in the world steel market in the coming years, powered by China and other emerging market countries.

Copyright Agence France-Presse, 2008

About the Author

Agence France-Presse

Copyright Agence France-Presse, 2002-2024. AFP text, photos, graphics and logos shall not be reproduced, published, broadcast, rewritten for broadcast or publication or redistributed directly or indirectly in any medium. AFP shall not be held liable for any delays, inaccuracies, errors or omissions in any AFP content, or for any actions taken in consequence.

Sponsored Recommendations

Voice your opinion!

To join the conversation, and become an exclusive member of IndustryWeek, create an account today!