Tata Steel Nederland has submitted a Request for Advice to the Central Works Council to begin consultations on key aspects of its transformation programme.
Located in IJmuiden, Tata Steel’s Dutch operations are among the most strategically positioned in Europe, benefiting from a deep-sea port, proximity to major customers, and access to offshore wind and energy infrastructure, critical for its transition to green steel production. Discussions with stakeholders, including the Dutch government, are ongoing to support this shift.
In FY2025, production at IJmuiden rebounded to near full capacity at 6.75 mln tons, following a blast furnace reline that had affected output in FY2024. However, economic challenges in Europe, driven by geopolitical tensions, trade disruptions, and high energy costs, have put pressure on costs and margins.
To strengthen its competitiveness, Tata Steel Nederland is implementing a broad transformation strategy focused on increasing production efficiency, reducing fixed costs, and optimizing its product mix. This will involve a new organizational structure aimed at increasing accountability, automation, and standardization, while eliminating duplication. As a result, approximately 1,600 management and support roles are expected to be cut. Changes are also being made to the local management board.
Consultations with the Central Works Council and trade unions have begun, with a structured engagement process planned in the coming weeks, the company said.
As part of its green steel transition, Tata Steel plans to replace one of its two blast furnaces with a Direct Reduced Iron (DRI) furnace and an Electric Arc Furnace (EAF) by the end of the decade, which would reduce annual CO2 emissions by about 5 mln tons. The company also intends to go beyond regulatory requirements to improve environmental conditions for nearby communities. Tata Steel remains confident about securing the necessary government support and funding and sees this transformation programme as a critical step in enabling future investments and long-term sustainability.