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Blast furnace failure costing millions
A structural failure of the furnace at ArcellorMittal SA's Newcastle plant could see thousands of jobs being lost and millions of rands in export orders going down the tubes according to an article published in Business Report yesterday, 22 August 2011.
The fact that the blast furnace is not working will mean that there are serious shortages of steel in South Africa for the next three months. ArcellorMittal warns that these shortages could extend until the end of next year.
Ken Manners of SP Metal Forgings - which makes components for the local and international automotive market - says that ArcellorMittal is "doing its best" to try and resolve the problems but steel shortages will persist for the immediate future.
Steel users in South Africa say that the company has kept them informed about the problems and according to Business Report is trying to work with them to help alleviate problems.
Read more:
- Business Report: Newcastle furnace failure to cost exports, manufacturers
