Albania’s Kurum suspends steel output amid financial problems
Albanian International’s Elbasan-based rebar steelworks Kurum has stopped steel production due to financial tension caused by the drop in international steel prices, Kallanish notes.
“Over the past two years, Kurum International has experienced severe complications due to the international energy recession and deteriorating economic conditions, interrupting production at times,” the company says. “The situation became extremely complicated in the second half of 2023 and even more so in 2024 as metallurgy faced deteriorating conditions due to reduced capital demand, high interest rates, inflation and complications in securing primary materials and power.”
Kurum has dismissed local media reports of layoffs, saying it has not implemented mass layoffs for administrative staff. It is however negotiating with the union to offer a number of these staff layoff options with back pay and time served.
According to the company, it is now engaged in substantial repairs to modernise industrial lines and restore competitiveness, to resume production as soon as possible. “The suspension of steel production has nothing to do with media reports of the company’s joining in the export of hazardous waste,” it adds.
Last week, Albanian media outlet Reporter.al reported that Durres prosecutors had identified Kurum International as the source of 816 tonnes of hazardous waste on two Maersk container ships stopped from docking in Thailand.
Kurum International’s Elbasan steelworks comprises one electric arc furnace meltshop with 510,000 tonnes/year liquid steel capacity and three rebar mills with a combined 700,000 t/y capacity. The plant also has a scrap processing unit for which it sources material from the domestic market, as well as Montenegro, Macedonia, Serbia and Kosovo.
The firm sells half of its products domestically – including merchant billet – and exports the balance. It claims to supply 66% of Albania’s rebar requirement.
The company is fully owned by Turkish businesswoman Hatice Melek Kurum.
Svetoslav Abrossimov Bulgaria
