The ex Ilva of Taranto, today Acciaierie d'Italia, is still at the centre of a crisis which seems endless. The company, in extraordinary administration since 2015, is at looking for a buyer capable of relaunching it and guaranteeing the validity and sustainability of the offers on all fronts: industrial, environmental, economic and employment. However, the road is proving to be more complicated than expected. With quote well below the government's expectations, the steel mill's future hangs by a thread, while thousands of workers continue to deal with the layoffs.
Ex Ilva, sale postponed again: what are the offers?
Due to financial and production difficulties, the government has decided to extend (for the third time in two months) the Deadline for the sales procedure of Acciaierie d'Italia, initially set for January 31, until at 14 February 2025The goal is to give the potential buyers the time for improve their proposals economic, but the situation remains critical. The three main offers for the acquisition of the entire industrial complex – coming from Jindal Steel (India), Baku Steel (Azerbaijan) and Bedrock Your products (USA) – I am well below the figure of 1,5 billion of euros hoped for by the government. The offers received range from 80 million to 950 million euros, a figure that highlights how difficult it is to attract significant investments in a sector, the steel sector, marked by overproduction Chinese and from drop in demand in Europe.
Jindal Steel's proposal is the only one to have made its details public, with a plan that includes a total investment of around 2 billion euros, largely earmarked for the decarbonization of the steelworks. On the contrary, Bedrock Industries' offer has been criticized for its financial models that are not compatible with a company in extraordinary administration, while Baku Steel's has not yet provided clear indications on its industrial plan.
In addition to these three main offers, there have been seven more proposals relating to the acquisition of specific assets of the company, in particular the ArcelorMittal Italia production sites. One of the most significant offers comes from the group Marcegaglia, which has expressed interest in the Racconigi, Salerno sites and some activities in France. Although there are still no signs of a possible merger between the offers of Jindal Steel and Baku Steel, a future alliance between the two groups cannot be ruled out.
Acciaierie d'Italia requests renewal of redundancy fund
While a white knight is expected, the situation is far from rosy for workers. The company recently asked for the renewal of the extraordinary fund – a now structural tool for Acciaierie d'Italia – for 2025, with effective from March 1st, but reducing it compared to the current year. This would mean going from a maximum of 4.050 workers on redundancy pay to 3.420, of which 2.955 in the main site of Taranto. The request was sent on February 3 to the Ministries of Labor and Enterprise, to the unions and to the regions involved, highlighting how the employment crisis is far from being resolved.
Despite a slight reduction, the continued use of CIG is a sign of the persistent imbalance between costs and revenues of industrial management. According to the company, the current production levels – approximately 2 million tons of steel in 2024 – and those expected for 2025 (3,5 million tons) are not sufficient to ensure the financial sustainability of the production cycle. Added to this is the need for reorganize the staff, as some areas of the plants remain idle or operate at a reduced rate. Jindal has already said he cannot guarantee the maintenance of the 10 jobs, but has said he is willing to create new opportunities downstream of production once the transformation is complete.
Minister Urso: “no public shareholder in Acciaierie d'Italia”
The Minister of Enterprise, Adolfo Urso, he expressed confidence in the conclusion of the sale procedure, stressing that the proposals received from the three potential buyers are “serious”. According to the minister, the extraordinary administration process started less than a year ago has already led to important results, including the reactivation of a blast furnace and the start of work on a second. Urso also highlighted the support for related companies, the agreement with the unions on the management of the redundancy fund and the start of the Taranto Technopole, a project aimed at the environmental transition of the site.
However, the government has clarified that does not intend to maintain public participation in the ownership of Acciaierie d'Italia. The minister explained: "The presence of the State has not contributed positively in these years for the former Ilva. In itself, the presence of the State is not always the solution to problems". In conclusion, he specified that public participation will be examined, but that the balance of past events, when Invitalia had a significant share in the ownership, cannot be judged as positive.
A still uncertain future
Despite the efforts, the economic and industrial context remains unfavorable. The decline in demand for steel in Europe, combined with the structural difficulties of Acciaierie d'Italia, makes the relaunch of the steel hub an arduous undertaking. The possibility of a sale below cost or a significant reduction in activities worries the unions and the more than 10 workers, who see an increasingly uncertain future.
The former Ilva, symbol of a glorious industrial past and of a crisis that does not seem to find a solution, continues to represent a complex challenge for the government and for the Italian economic system. The next few days, with the Offer deadline , decision on future owner, will be crucial to understanding which direction this long and tormented story will take.
