ArcelorMittal Belgium has confirmed that it has initiated a formal procedure to inform and consult with employee representatives regarding the future of customized semi-finished products production in Ghent.
This procedure follows an internal review of the business which identified serious structural problems affecting the Ghent division. As a result, a possible closure of the plant is currently being considered.
Structural difficulties and financial pressures
According to the company, the Ghent custom blanks plant is experiencing a noticeable decline in production volumes, along with a significant deterioration in profitability. These factors have led to cumulative financial losses for several years in a row, undermining the long-term viability of the enterprise.
Against this backdrop, ArcelorMittal Belgium said it must evaluate all available options, including possible closure of the plant, while engaging with employee representatives in a transparent and structured manner.
Management emphasizes commitment to process
Commenting on the developments, Sibel Onen, CEO of ArcelorMittal Tailored Blanks, acknowledged that the coming period will be particularly difficult for employees at the Ghent site.
She stressed that the company is committed to maintaining an open, constructive dialogue with employees and other stakeholders throughout the consultation phase, and to ensuring clear and transparent communication during the process.
Weakness in the automotive sector is putting pressure on the situation.
The company highlighted that ArcelorMittal Tailored Blanks has been directly impacted by the decline in automotive activity in Europe, a trend that continues to put heavy pressure on the European steel sector in overall.
Although ArcelorMittal remains a leading supplier of customized blanks in Europe and continues to support its customers in the automotive industry, the company acknowledged that ongoing market weakness and operational pressures pose significant challenges to the long-term sustainability of certain assets.
ArcelorMittal Tailored Blanks said it would not provide further detailed comments on the Ghent site until until the process of information and consultation with representatives is completed
