Thyssenkrupp Steel provided an update on the progress of its restructuring process at its Capital Markets Day on September 28. The employment plan is based on an agreement signed with the IG Metall trade union at the end of 2025. The agreement envisages reducing or outsourcing approximately 11,000 positions. Therefore, the 4,000-person reduction already implemented does not entirely represent direct job cuts.
The company plans to adjust its annual production capacity of 11.5 million tonnes to an annual shipment target of 8.7–9 million tonnes. Another step in the restructuring, the separation from Hüttenwerke Krupp Mannesmann (HKM), was completed in summer 2026.
Thyssenkrupp Steel CEO Marie Jaroni said significant milestones had been reached in the restructuring process and that the first effects of the measures were beginning to show in the company’s performance. Jaroni said the company’s goal was to develop thyssenkrupp Steel into a more profitable and resilient producer.
Thyssenkrupp Steel expects restructuring and cost-efficiency measures to contribute more than EUR 800 million to adjusted EBITDA. The company said agreements had been reached for more than half of these measures and implementation was ongoing. Its medium-term targets include adjusted EBITDA of at least EUR 1.2 billion, an EBITDA margin of at least 11% and positive free cash flow.
Philipp Conze, the company’s Chief Financial Officer, said the profitability targets are largely based on measures under thyssenkrupp Steel’s own control. Conze highlighted the restructuring agreement with the trade union, the cost-efficiency program and the separation from HKM in this regard.
The company plans to focus on product value rather than production volume. According to the company, approximately two-thirds of its portfolio consists of premium steel grades. Having invested more than EUR 1 billion in modernizing its production network in recent years, thyssenkrupp Steel is also continuing its transition toward low-carbon steel production with the direct reduction plant under construction in Duisburg.
Marco Richrath, the company’s Chief Operating Officer, said modernization investments support the production of high-quality steel products. Richrath added that the direct reduction plant in Duisburg is advancing the company’s transition to low-carbon production.
The separation of thyssenkrupp Steel Europe from thyssenkrupp AG remains one of the company’s strategic objectives. The possibility of the parent company retaining a minority stake is also being considered.
Thyssenkrupp Steel said demand in the markets where it operates has generally remained stable. According to the company, trade measures in place since July 2026 are supporting the European steel market, with more than 80% of the European flat steel market covered by the new quota and tariff arrangements.
