 |
| Tosyalı Holding |
Turkish steelmaker pulls out of Luxembourg acquisition, citing revised EU trade restrictions.
Turkish conglomerate Tosyalı Holding has officially withdrawn from the acquisition of Liberty Steel’s Dudelange plant in Luxembourg, dealing a significant blow to the facility's 130 employees. The announcement, made by Luxembourg’s Ministry of Economy and Labor on May 7, follows Tosyalı’s reassessment of the deal in light of European Union safeguard measures on steel imports.
Tosyalı had been selected as the preferred bidder, with a plan to invest in the site, preserve jobs, and restart operations. However, the revised EU regulations—set to remain in effect until 2026—would have restricted non-EU steel imports, undermining Tosyalı’s ability to operate within the bloc.
“It’s catastrophic,” said Stefano Araujo of the OGBL union, expressing frustration over the reversal. Robert Fornieri of the LCGB union also criticized the European Commission’s regulatory environment, blaming it for both forcing ArcelorMittal to divest the site initially and now for blocking Tosyalı’s entry.
Workers are now left in uncertainty, with some having declined alternative jobs in the hope of resuming work in Dudelange. Due to gaps in social safety legislation, several employees are still not receiving unemployment benefits.
Tosyalı had earlier expressed interest in expanding its footprint in European steel production. The failed acquisition of Liberty Steel Dudelange raises broader questions about the impact of EU trade safeguards on foreign direct investment and industrial employment within the bloc.
Tags
STEEL
