After around two weeks of throttled production, thyssenkrupp Steel has ended the state of force majeure it declared on 18 October, the company told Kallanish. It is presently in the process of re-organising regular delivery to its customers, it says. The same applies to the ArcelorMittal long products mill in Duisburg.
The company’s Duisburg steel mills were severely affected by a supply shortage caused by the low water level of the Rhine river, after weeks of draught. It temporarily cut 10-15% of pig iron output as a result of a supply shortage of ore, coal and scrap. Even oil refineries on the Rhine near Cologne announced that a fuel shortage might be looming because of the low water.
The water levels have recovered after some rain last week, which is why tk Steel ended the official force majeure. However, the rainfalls still are by no means sustained, and have not been very abundant. It remains unclear for how long vessels can continue to carry regular loads.
In the wake of the supply shortage at thyssenkrupp Steel, ArcelorMittal also has declared force majeure for its Duisburg mill. It is supplied by tk Steel with pig iron, and therefore is also affected by the curtailed production. The mill has now again begun to recieve full pig iron volumes from thyssenkrupp.
“Due to full deliveries now, we do not expect any further negative effect on our steel production,” it says in a statement.
Source: Kallanish |