Marcegaglia to revamp cold rolling mill in Gazoldo
Marcegaglia is set to improve its production capacity and broaden its product range by upgrading its 20-Hi cold rolling mill located at the Gazoldo degli Ippoliti facility in Mantua, Italy. The investment will facilitate improvements in efficiency and precision, leveraging automation and digital technologies, the firm says.
Equipment maker Tenova will execute the modernisation works. The project will encompass the integration of Level 1 and Level 2 automation, a Human-Machine Interface (HMI), and Machine Learning applications aimed at improving the efficiency of the rolling pass schedule.
The upcoming revamp will feature the Advanced Roll Cluster Configurator, “an intelligent system that automatically determines the optimal roll sizes for different rolling configurations, ensuring efficient roll management,” Tenova explains in a note seen by Kallanish.
A vibration monitoring system will also be implemented to improve process stability and control. These adjustments will result in higher accuracy, improved process reliability, and increased operational efficiency, it adds.
20-high mills are used for high-speed production of cold rolled strip. “We are confident that Tenova’s expertise in 20-Hi mill technology and digital innovation will help us achieve our goal of restarting the mill with the most advanced rolling models and automation available,” notes Marcegaglia chief technical office Paolo Tenca.
Tenova asserts that the re-roller will set new benchmarks for cold rolling performance and manufacturing flexibility as a result of the revamp. The 20-Hi cold rolling mill is projected to commence operations in 2026.
Natalia Capra France
Stellantis announces tariff-related cutbacks in US, Canada, Mexico
Stellantis is laying off 900 US employees and suspending some production in Mexico and Canada, Kallanish hears from the automaker.
The temporary layoffs will affect workers in Stellantis’ Warren and Sterling stamping plants in Michigan, its Indiana transmission plant, and its Kokomo, Indiana, transmission and casting facilities.
The company says it is responding to US President Donald Trump’s tariff policies, which are causing a temporary closure of two other assembly plants: the Windsor assembly plant in Canada and the Toluca assembly plant in Mexico. Windsor will pause from 7 April and resume operations on 21 April. Toluca will close on 7 April through the end of the month.
On Wednesday, Trump confirmed that automobiles assembled outside of the US will incur a 25% tariff (see Kallanish 2 April).
Stellantis’ North American chief operating officer, Antonio Filosa, emailed employees on Thursday morning to update them about the latest tariffs’ impact on the company’s operations.
“With the new automotive sector tariffs now in effect, it will take our collective resilience and discipline to push through this challenging time,” wrote Filosa. “We are continuing to assess the medium- and long-term effects of these tariffs on our operations, but also have decided to take some immediate actions, including temporarily pausing production at some of our Canadian and Mexican assembly plants. Those actions will impact some employees at several of our US powertrain and stamping facilities that support those operations. These are actions that we do not take lightly, but they are necessary given the current market dynamics.”
Kristen DiLandro USA
Defence spending not seen notably spurring EU plate
Defence has become a hot topic in Europe, being cited as a growing steel consuming sector since US President Donald Trump threatened NATO withdrawal unless the EU increases defence spending. However, except for certain products, the impact on the wider steel market is questionable.
“We have a wide scope of steels for security purposes,” Salzgitter chief executive Gunnar Groebler emphasised recently during the company’s annual press conference. To this purpose, the German company has now established the brand of “Secure” steels, and a “Defence” task force to coordinate further activities in this direction.
The “Secure” steels range mainly involves its tubes and heavy plate unit, but also plate distribution subsidiary Universal.
But while some makers of steel, especially plate, will be able to generate extra sales to the defence industry, the effect on the larger plate market will be minimal, an experienced observer believes. “Europe’s capacity of reversing mill plate is around 10 million tonnes, and less than 1% is sold to defence,” he tells Kallanish. “Even if sales in that direction went up by 50%, it would hardly move the larger market.”
He finds increasing geopolitical insecurity has made defence a fashionable topic, “which mills like to cite, and others like to hear; and it might boost the share price of stock-market listed companies”.
This could be the case for Salzgitter, but also for Kloeckner & Co. The listed distribution/processing group hailed the acquisition last month of a rather inconspicuous German plate processor as a significant expansion of its portfolio for defence purposes.
Meanwhile, Germany’s largest defence supplier, Rheinmetall, has declared it will primarily source German steel in future. The company believes that domestic sources are the safer option when considering security policy, a Rheinmetall representative was cited as saying by newspaper WAZ.
Christian Koehl Germany
EU HRC increases provide import opportunity
European producers’ attempts to raise prices could widen the gap between EU hot rolled coil rates and import prices, causing buyers to boost their import purchases despite duties, Kallanish learns from Italian coil buyers.
Recent adjustments to EU safeguard measures and anti-dumping duties are projected to lead to a reduction of 5-6 million tonnes/year in EU flat steel imports (see Kallanish passim). This includes both hot and cold rolled coil, in addition to coated flat products.
“While their [mills’] narrative is legitimate, the push for price increases for HRC appears speculative. It is supported by protectionist measures instead of real consumption and market demand, which remains notably weak,” an Italian service centre comments.
ArcelorMittal is reported to be raising its HRC prices in northern Europe to €700/tonne ($773) delivered, while seeking €680/t delivered in southern EU countries. Numerous European steelmakers are aiming for similar levels, but service centres are facing significant challenges in increasing their prices and are reporting low margins and non-existent profitability.
“The current demand levels are significantly weak,” another service centre notes. “We are experiencing pressure from rising prices from HRC producers, while simultaneously facing a downturn in sheet and strip prices.” He notes that at €700/t delivered, EU producers are merely widening the gap with import prices. Values from countries like Indonesia or Malaysia range between €540-550/t cfr Europe.
The market is currently assessing the level of duty buyers will pay for material imported outside of quotas following the renewal of quotas on 1 April. Ports are experiencing congestion for HRC and particularly hot-dipped galvanised products from Vietnam, as Vietnam’s quota allocation has been exceeded. During the previous quarter, buyers were subject to duties ranging from 8% to 10%.
“Achieving margins of €50-60/t is vital for us,” the source comments. Should European prices hit €700/t, buyers would find imports priced at €550/t cfr to be financially viable. Even after accounting for duty, import prices would still be lower than European prices.
“There is a necessity for price increases across the entire value chain; however, we are currently not observing any upward movement downstream. There are no indicators of improvement from our clients. The automotive and appliances sectors are underperforming significantly,” he concludes.
Should EU prices rise, sources such as Turkey, currently presenting offers in the range of €590-600/t duty paid, will regain their appeal. Additionally, suppliers from India are reportedly providing offers at €580/t cfr. Re-rollers are facing challenges in raising prices, in line with service centres. Hot rolled sheet is priced at €700/t delivered, although a lower rate of €680/t is also accessible.
Italian domestic HRC is reported to be in the range of €630-640/t delivered, according to sources.
Natalia Capra France
EUROMETAL re-invited by Mrs Von der Leyen to high-level EU Consultation on U.S. Tariffs Impact on Steel
EUROMETAL has received an official invitation from the President of the European Commission, Ursula von der Leyen, to participate in a high-level virtual meeting on Monday, 7 April 2025, to discuss the impact of U.S. tariffs on the EU steel and aluminium sectors.
The invitation follows the recent announcement by the U.S. administration to impose tariffs on steel, aluminium, and derivative products, including those originating from the European Union. This development is expected to have significant consequences for global trade and directly affect Europe’s metals industry and supply chains.
In response, the European Commission has launched a revised Steel and Metals Action Plan, effective from 1 April 2025, aimed at reinforcing the EU’s trade defense mechanisms. A new trade measure to replace existing steel safeguards is also under preparation for implementation from 1 July 2026.
The upcoming virtual meeting will serve as a strategic dialogue with key industry stakeholders, aiming to: gather insights on the real and anticipated impact of U.S. tariffs on EU steel and aluminium, explore sector proposals for an effective EU response, and help shape the next phase of EU trade defense policies.
EUROMETAL welcomes this initiative and will actively contribute to the discussion, continuing its mission to represent the interests of the European steel distribution, processing, and trading sectors.
We look forward to engaging with EU decision-makers and other industry leaders to ensure that Europe’s steel value chain remains strong, competitive, and protected.
Spain’s Celsa inks preliminary agreement with CriteriaCaixa to sell 20% stake
Spain-based long steel producer Celsa Group has announced that it has signed a preliminary agreement with Spanish investment company CriteriaCaixa to sell a 20 percent stake in the company. The transaction is expected to be finalized in the coming weeks.
This alliance will support Celsa’s ongoing financial restructuring efforts and provide a strong boost to its industrial development strategy.
The process of incorporating a Spanish investor with an industrial focus began with the launch of an operational efficiency plan, financed by a capital increase, and the divestment of certain assets located outside the country, as SteelOrbis previously reported.
Hydnum Steel to supply decarbonized flat steel to Thyssenkrupp’s service center subsidiary
Thyssenkrupp Materials Processing Europe, a service center subsidiary of German steelmaker Thyssenkrupp, has announced that it has signed an agreement with Spain-based Hydnum Steel to join forces to drive the transition to a decarbonized steel industry.
Accordingly, Hydnum Steel will supply Thyssenkrupp Materials Processing Europe with up to an annual 100,000 mt of decarbonized flat steel for an initial period of seven years. The products will be produced at the flat steel plant in Puertollano, Spain, currently under construction.
The agreement will enable Thyssenkrupp Materials Processing Europe, which has a wide range of customers in sectors including the automotive industry, construction and household appliances, to expand its range of environmentally friendly products and respond to the industry’s growing interest in sustainable solutions.
European HDG prices increase on higher offers
New steel safeguard measures, imposed by the European Commission, have limited the interest of the European buyers to purchase imported material. Thus, buyers continued to rely on the domestic mills to cover their needs, Fastmarkets understands.
This put the European producers in a stronger position to push for higher offers. ArcelorMittal announced increased prices for flat steel products across Europe on Tuesday.
The move also affected the HDG prices, with ArcelorMittal’s latest offers for the material in Northern and Southern Europe heard at €820 ($894) per tonne ex-works or delivered, depending on the region, Fastmarkets understands.
Two weeks ago, the highest offers of HDG in Northern Europe had hovered around €780-800 per tonne ex-works, but no transactions at those levels were reported. Offer prices in Italy were slightly lower, at €730-750 per tonne ex-works.
According to industry sources, the upward trend with the domestic HDG prices could be felt now also in the Southern European market.
“All suppliers are fully booked for May and offer June/July delivery material at €810-820 per tonne delivered (€800-810 per tonne ex-works),” a distributor source from the Iberian market told Fastmarkets.
“These levels are high, but there are not many alternatives from imports because of the new safeguard measures,” the source added.
Italy-origin HDG was offered to Germany at €780 per tonne delivered, up by €20 per tonne compared to the previous available price level, Fastmarkets heard.
But buyers’ estimations for the tradeable market levels of HDG for both Southern and Northern Europe remained lower, at €740-760 per tonne ex-works.
Fastmarkets’ weekly price assessment for steel hot-dipped galvanized coil domestic, exw Northern Europe was €740-760 per tonne on Wednesday, up by €10 per tonne from €730-750 per tonne on March 26.
And Fastmarkets’ price assessment for steel hot-dipped galvanized coil domestic, exw Southern Europe also stood at €740-760 per tonne on Wednesday, up by €10 per tonne from €730-750 per tonne on March 26.
Regarding imports, Asian suppliers were heard offering 1mm HDG with Z100-120 coating to Southern Europe at €740-750 per tonne CFR, but the interest in such material remained low due to the trade risks and the long delivery time, Fastmarkets understands.
Julia Bolotova in Brussels contributed to this report.
European Commission President von der Leyen warns US tariffs will hurt global economy, vows to stand up for Europe
“Let’s be clear-eyed about the immense consequences. The global economy will massively suffer,” von der Leyen said in a statement. “Uncertainty will spiral and trigger the rise of further protectionism. The consequences will be dire for millions of people around the globe.”
On Wednesday, President Trump announced broad-based baseline tariffs of at least 10% on all imported goods into the US, effective April 5. He also announced reciprocal – and much higher, percentage-wise – tariffs on import goods from certain US trade partners with big trade deficits. Levies were set at 34% on Chinese goods and 20% on EU goods, as well as 46% for Vietnam, 32% for Taiwan, 26% for India and 24% for Japan, among others.
Neither Russia nor North Korea were in the list of companies to be hit with tariffs, although there is probably little to no trade between the US and these countries.
Von der Leyen said in the past 80 years trade between the EU and US had created millions of jobs and consumers across the Atlantic had benefitted from reduced prices. The global trade system was not without its flaws, she said.
“I am ready to support any efforts to make the global trading system fit for the realities of the global economy. But I also want to be clear: Reaching for tariffs as your first and last tool will not fix it,” she said.
Von der Leyen called for negotiations between the EU and US to avoid a trade war, but she said the EU was preparing for further countermeasures to protect Europe’s interests and businesses if those negotiations with the US fail.
“As Europeans we will always promote and defend our interests and values. And we will always stand up for Europe,” she said. “But there is an alternative path. It is not too late to address concerns through negotiations.”
Potential countermeasures the EU announced on March 12 in response to US tariffs on aluminium and steel could cover a wide range of agricultural and industrial goods including potentially some wood products, pulp, paper and board.
The Commission also earlier in March opted to delay its set of initial countermeasures on US tariffs from April 1 until mid-April, to coincide with a second package of measures on which the Commission is currently consulting.
European commodity markets struggle to understand impact of latest US tariffs on imports
On Wednesday, President Trump announced broad-based baseline tariffs of at least 10% on all imported goods into the US, effective April 5. He also announced reciprocal — and much higher, percentage-wise — tariffs on import goods from certain US trade partners with big trade deficits. Levies were set at 34% on Chinese goods and 20% on EU goods, as well as 46% for Vietnam, 32% for Taiwan, 26% for India and 24% for Japan, among others.
Neither Russia nor North Korea were in the list of companies to be hit with tariffs, although there is probably little to no trade between the US and these countries.
Steel sector
Steel market participants in Europe were still assessing the impact of new tariffs for the industry. While no additional tariffs were added to steel on April 2, the US had imposed tariffs of up to 25% on imports of steel, aluminium and certain products containing steel and aluminium from the EU and other trading partners on March 12.
“So far there is no stacking [adding up of pre-existing and new tariffs] so steel tariffs for Europe remains at 25%,” the mill source in Europe said.
However, the tariffs are hitting one of major steel-consuming sectors in the EU – automotive.
The automotive industry could now witness combined tariffs of up to 45%: of which 20% will be under Trump’s new “liberalization” measures and a pre-existing 25% levy, announced in March.
Automotive sector accounts for around 20% of total steel consumption in the EU, according to Eurofer.
The US is the second-largest market for the EU vehicle exports after the UK. In terms of value, the US accounts for about one fifth of the EU export market, according to European Automobile Manufacturers Association (ACEA). In 2024, 757,654 new vehicles were exported from the EU to the US, worth €38.9 billion.
ACEA highlighted that European manufacturers export 50-60% of the vehicles they make to the US.
Meanwhile, total carbon steel exports from the EU in 2024 amounted to 15.8 million tonnes, with the US share being around 16% or 2.5 million tonnes.
Ursula Von der Leyen confirmed on Thursday the EU was already finalising a first package of tariffs targeting €26 billion-worth worth US goods for mid-April in response to US steel and aluminium tariffs that took effect on March 12.
No details on future measures, however, have been revealed so far.
The effect of the new blanket tariffs would further strain European steel industry that was already dealing with reduced margins, falling demand and rising costs, sources said.