EU Stainless Steel Producers Show Strength Amid Global Uncertainty

Acerinox 

Acerinox and Outokumpu report Q1 gains and forecast further growth despite strikes, tariffs, and geopolitical instability.

Europe’s top stainless steel producers, Acerinox and Outokumpu, posted strong Q1 2025 results, showing resilience against rising import pressure, policy uncertainty, and volatile markets.

Acerinox reported a 29% quarter-on-quarter production increase to 512 kt, with revenue reaching €1.6 billion, up 17% from Q4 and 5% year-on-year. EBITDA rose to €102 million, up from €91 million in Q4.

The Spanish producer is pushing forward with its strategic integration of Haynes International, boosting projected synergy benefits to $75 million across Haynes, VDM, and NAS. CEO Bernardo Velasquez acknowledged headwinds from tariff uncertainty but affirmed the company’s focus on long-term execution.

Outokumpu, meanwhile, increased shipments to 470 kt, up 11% quarter-on-quarter. Its adjusted EBITDA hit €49 million, supported by €43 million in gains from ferrochrome operations and cost efficiency tied to the relocation of production to Germany. However, the Finland strike cost the company €15 million.

For Q2, Outokumpu projects another 10% rise in shipments, with EBITDA to remain stable or improve, though planned ferrochrome maintenance may cause a €10 million impact.

Both companies are prioritizing raw material security and decarbonization strategies. Notably, Outokumpu signed a 10-year deal for low-carbon molybdenum, reinforcing its green supply chain goals.

Globally, stainless steel production rose 7% in 2024 to 62.62 million tons, with European output growing 1.5% to 6.09 million tons and U.S. production increasing 6.9% to 1.95 million tons.