ArcelorMittal Kryvyi Rih Mining and Metallurgical Plant (Dnipropetrovsk Region) announced the forced shutdown of its blooming shop in the second quarter of 2026.
This is stated in the message of the enterprise, the Ukrainian News agency reports.
The report says that such a decision is not easy, but is objectively determined by the current economic and market circumstances in which the company operates in a full-scale war.
"The key factor that led to this step was the decision of the European Commission to introduce the CBAM (Carbon Border Adjustment Mechanism) mechanism from January 1, 2026, without any exceptions or transition period for Ukrainian producers. In fact, this means the loss of the European market for a significant part of Ukrainian steel products, which critically affects the production volumes and utilization of individual units," the company said.
It is noted that an additional significant factor is the extremely high cost of electricity in Ukraine.
Compared to 2024, the price of electricity has increased from USD 135 per MW to USD 210 in January 2026, which makes the production, in particular of this unit, economically unprofitable.
But the decision to shut down the shop does not mean abdication of responsibility to people.
All blooming employees will receive job offers in other departments within the enterprise with the possibility of retraining at the expense of the company, and all the benefits of working at ArcelorMittal Kryvyi Rih will be preserved for these employees - a stable salary, social package, and all other benefits.
All other procedures and guarantees provided for by the current legislation of Ukraine will also be applied.
The blooming shop of the rolling department is designed to produce billets for the company's small section and wire mills
As the Ukrainian News agency earlier reported, in 2025, compared to 2024, ArcelorMittal Kryvyi Rih Mining and Metallurgical Plant (Dnipropetrovsk Region) increased steel production by 2,3% to 1.689 million tons.
The company's facilities are designed to produce over 6 million tons of steel, over 5 million tons of rolled products and over 5.5 million tons of pig iron annually.
95.1283% of the plant's shares are owned by Mittal Steel Germany GmbH, a member of the international holding company Arcelor Mittal.
Arcelor Mittal Kryvyi Rih is the largest producer of rolled steel in Ukraine, specializing in the production of long products, including rebar and wire rod.
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