ArcelorMittal Kryvyi Rih is preparing the plant for mothballing

ArcelorMittal Kryvyi Rih, Ukraine’s largest steel mill, is beginning preparations to completely shut down production and mothball its industrial facilities. Over the next two months, the company plans to safely shut down production and subsequently preserve equipment and other assets until operations can resume.

This decision was made following a series of Russian missile strikes that caused significant damage to the plant. The company explains that it is currently impossible to continue safe operations during the war.

 

ArcelorMittal Kryvyi Rih is beginning to transition the plant to “cold shutdown” mode. The process will take about two months. During this time, employees must prepare the equipment for a safe shutdown and halt production processes. Afterward, the industrial facilities will be mothballed to preserve them for a potential resumption of production.

A cold shutdown is not simply a temporary suspension of plant operations. It involves preparing the equipment for an extended period of inactivity to minimize the risk of damage and ensure the plant can be restarted in the future. Mauro Longobardo, CEO of ArcelorMittal Kryvyi Rih, emphasized that the company’s primary goal is to protect employees and preserve industrial assets. “I want to emphasize that a cold shutdown is not simply a suspension of production. It is a precautionary measure to ensure business continuity and a way to manage significant risks at the level of each individual asset,” he said.

According to Longobardo, the company’s main objective is to preserve the plant so that it can resume operations at the first safe opportunity. “Our number one priority is to preserve our people and industrial assets so that we can resume operations at the earliest possible opportunity,” the plant’s director emphasized.

Why the plant is halting production

The decision to shut down operations was made following four Russian missile strikes that the plant suffered in August and September. According to the company, six employees were killed and more than 18 others were injured as a result of these attacks.

The last of these strikes occurred on September 21. The Russian attacks caused significant damage to the plant’s production facilities. Primary metallurgical production at the plant has already been halted. The company is now moving on to the next stage—the safe shutdown of the remaining production processes and the preservation of equipment.

The company notes that under current conditions, it cannot guarantee safe and stable operations. Therefore, the resumption of production is being postponed until the end of hostilities and the emergence of conditions under which the plant can operate without significant risks to people and equipment.

Will ArcelorMittal Leave Ukraine?

Despite the shutdown of the plant, the international ArcelorMittal Group has no plans to leave Ukraine. The company emphasizes that it wants to preserve its industrial assets and the ability to resume operations in the future. “Based on our current assessment, safe operations are not possible while the war continues. Once the war ends, when conditions permit, we will begin a dialogue with the Ukrainian government and reassess whether it is possible to safely and sustainably resume operations,” the company said in a statement.

It was also previously reported that ArcelorMittal Kryvyi Rih does not plan to resume production until the war ends. Further decisions will depend on the security situation and the ability to operate consistently.

Russian strikes are halting steel production

The challenges facing ArcelorMittal Kryvyi Rih are part of a broader crisis in the Ukrainian steel industry, which is suffering from Russian shelling. In late September, the Metinvest Group announced a critical situation in the industry. According to the company, five furnaces at its facilities were destroyed, and two more at ArcelorMittal Kryvyi Rih. Due to the damage, the plants cannot operate as usual.

On the night of September 5, a Russian ballistic missile strike damaged the Kametstal steel mill in Kamenskoye, Dnipropetrovsk Oblast. Following the attack, the plant suspended operations. Earlier, on the night of August 11, Russian forces launched ballistic missile strikes against Metinvest Group facilities in Zaporizhzhia. As a result of the strike, the Zaporizhstal steel mill halted operations.

Thus, Russian attacks continue to inflict damage on Ukrainian industry. For ArcelorMittal Kryvyi Rih, the next step will be to mothball its production facilities. The company hopes to preserve the facility and resume operations when the security situation allows. This was reported by the company’s press office.