Salzgitter, thyssenkrupp eye HKM low-emission transformation, Vallourec out

Salzgitter and thyssenkrupp Steel Europe are preparing to combine their efforts for the production of low-emission steel at the Hüttenwerke Krupp-Mannesmann (HKM) mill, which they own together with Vallourec.

Germany’s two largest steelmakers have not yet announced this plan openly, but confirm it upon request. Last week, they filed an application with the national antitrust authority for the permission to establish a joint project company to that purpose, Kallanish has learned.

They will combine their research at the Duisburg-based HKM slab mill, the one mill in which two groups are already partners as stakeholders. So far, tk Steel has held 50% in HKM, Salzgitter 30% and Vallourec 20%.

With the closure and sale of Vallourec’s operation in Germany, the tubemaker also appears to be withdrawing from its holding in HKM, although it has not been said so officially. In a statement sent upon inquiry, tk Steel notes that the project partnership for HKM is being launched “against the background of the resignation of Vallourec effective 1 January 2028”.

By the end of 2023 already, Salzgitter and tk Steel expect to have received a preliminary decision from the cartel office for their plan.

Christian Koehl Germany