JOHANNESBURG: The world’s second-largest steelmaker, ArcelorMittal, announced Tuesday it would shutter part of its steel business in South Africa, which one union said would result in the loss of around 4,000 jobs.
Its long steel division, which makes key construction products such as wires, beams and train tracks, had struggled for years in the face of the shrinking South African market, failing railway system and disruptive power cuts that have crippled the economy.
The steel giant said it had been trying for years to secure the business, including through efforts to reach a deal with the government and other stakeholders before the end of a September 30 deadline.
“Unfortunately, no solution has been concluded as yet,” ArcelorMittal South Africa (AMSA) said in a statement.
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