Ex Ilva shutdown sparks national crisis as court deadline looms
Production has halted at Taranto’s former Ilva steel complex as of 9 October, following a Milan court’s refusal to delay the closure of its high-temperature facilities. All hot-area operations ceased today, with equipment maintained in "hot stand-by" while awaiting a final ruling from Italy’s highest court. If the Court of Cassation does not intervene, the furnaces will be permanently shut down by 25 October 2026, with no possibility of restart.
The decision stems from a July ruling that demanded asbestos removal and emission controls within 90 days after health concerns raised by a parent group and a child with a rare genetic condition. Acciaierie d'Italia, the state-administered operator, confirmed compliance but requested emergency social protections for workers.
National strike and regional fallout
In response, major unions have declared a 24-hour national strike starting Monday, 14 October, affecting all former Ilva sites — Taranto, Genova, and Novi Ligure. The move underscores deep frustration over what many see as judicial overreach in industrial policy.
The ripple effect is already visible beyond Puglia. Acciaierie d'Italia notified authorities that Genova’s Cornigliano and Novi Ligure plants will suspend operations by 15 November, due to their total dependence on Taranto’s hot production chain. Mayors Silvia Salis (Genova) and Rocchino Muliere (Novi Ligure) condemned the timing as punitive, saying workers should not pay for delays in the sale process.
"This isn’t just about steel," said Liguria President Marco Bucci. "It’s about hundreds of local suppliers, transport networks, and entire communities hanging by a thread."
Government moves to block social collapse
Facing mounting pressure, the government plans to bring a decree-law to the Council of Ministers on 10 October aimed at safeguarding employment — not through closure-era wage support, but via a specially designed cassa integrazione in continuità. This measure, announced by Undersecretary Alfredo Mantovano, would maintain income for workers during the transition period, regardless of whether production resumes.
The state also intends to require any buyer to commit to green steel production using DRI (Direct Reduced Iron) and electric furnaces, as outlined in Acciaierie d'Italia’s approved decarbonization plan: dual 3-million-ton electric arc furnaces, a 2.5-million-ton DRI unit, and hydrogen-ready infrastructure to slash CO₂ emissions by 74%.
Who’s in the race to buy?
Four parties remain in contention, with binding bids now due by 15 November 2026:
• Jindal (India): Submitted a formal bid focused on preserving capacity and scaling green tech.
• Flacks Group (US): Proposed forming "Flacksider," a new entity co-owned by the Italian state and industrial partners.
• CE Industries (Czech Republic): Entered the auction as a fourth bidder with similar technical proposals.
• Italian consortium led by Federacciai: A coalition of domestic steel firms seeking to acquire cold-processing sites and preserve niche production.
ArcelorMittal exited ownership in early 2024 after a bitter split. Since then, AdI has been under extraordinary state administration.
A national question of sovereignty
Union leaders argue the legal timeline is being exploited to sidestep political responsibility. "The future of Italian industry isn’t decided by judges," said Sasha Colautti of USB. "The state must take ownership of its strategic assets."
Regional leaders from Lombardy to Sicily have demanded a new industrial law, arguing that without clear state direction, entire sectors risk implosion. The government’s window to act — before the Cassation verdict and the November deadline — is now less than three weeks.
