Thyssenkrupp Steel Europe AG has appointed Bernhard Osburg to replace Premal Desai as the company’s new chairman of the executive board as it continues its steel segment restructuring, the company said Tuesday.
Desai reached an agreement with Thyssenkrupp to step down from the position effective February 29 due to differing views regarding the direction of the company’s steel business, according to a statement released by the company.
The change in management is part of Thyssenkrupp’s larger business development strategy announced in November to address financial losses caused by lower European steel demand and fundamental changes in the automotive sector. The company said the strategy would involve the elimination of several administrative and executive positions to reduce bureaucracy and cut costs.
At the time, Thyssenkrupp CEO Martina Merz said the company’s restructuring was expected to take two to three years. The company has already begun reviewing its heavy steel plate segment.
“The strategy developed by the Steel Executive Board last December remains the right one,” Klaus Keysberg, the company’s supervisory board chairman, said Tuesday. “This is particularly true against the background of the current business situation in a difficult economic environment which poses particular challenges for the steel business.”
Osburg previously managed Thyssenkrupp’s steel sales, and has served as the company’s chief commercial officer since 2019.
— Nick Lazzaro