Tata Steel said delivery of a key electric arc furnace (EAF) for its Port Talbot steelworks in the UK has been delayed due to shipping disruptions linked to the ongoing Middle East conflict, which has driven up freight and fuel costs, according to the local media reports.
The furnace, with an annual capacity of 3.2 million tons, is being supplied by Italy-based Tenova, with some critical components manufactured in China. Shipments have been affected by higher logistics costs and longer transit routes.
Despite the delay, Tata Steel said the timeline for its transition project at Port Talbot remains unchanged, as other construction activities continue in parallel.
Shipping costs have risen sharply in recent weeks, with vessels increasingly rerouted away from the Red Sea and Suez Canal, instead taking longer routes around the Cape of Good Hope. Tata noted that such routing had already been incorporated into project planning, although transit times are expected to extend by several weeks.
Tata Steel added that more than 10,000 tons of steel for the furnace and related infrastructure are being sourced and fabricated within the UK.
The new EAF is central to Tata Steel’s shift toward lower-emission steelmaking, replacing coal-based blast furnaces with electric-powered production using scrap. The company said the specialized furnace design is not manufactured in Europe, necessitating sourcing from Asia.
