Tata Steel Nederland has officially begun a major transformation program aimed at strengthening the company’s long-term competitiveness while supporting its shift to more sustainable steel production. The company has submitted a Request for Advice to the Central Works Council, signaling the start of a consultation process for the planned changes.
The IJmuiden plant, one of the most strategically located steel production sites in Europe, is positioned to play a key role in this transition. Its access to a deep-sea port, close proximity to major industrial clients, and infrastructure for offshore wind, transmission lines, and pipelines make it a prime candidate for low-carbon steel production. Tata Steel is actively engaging with the Dutch government and other stakeholders to accelerate this shift.
Despite challenges in the broader European market, including geopolitical tensions, trade disruptions, and rising energy prices, Tata Steel Nederland’s operations in the Netherlands are recovering. In the current financial year (FY2025), the company has returned to near full production, reaching 6.75 million tonnes of liquid steel after completing delayed maintenance on a blast furnace.
In response to market challenges, Tata Steel Nederland is implementing a comprehensive strategy to improve production efficiency, reduce costs, and better align its product offerings with market demands. This will enhance profitability and business resilience.
The company’s restructuring includes adopting a more agile organizational model, aimed at clarifying accountability, increasing automation, and eliminating unnecessary functions. These changes will result in the reduction of approximately 1,600 management and support roles, with adjustments to the local leadership team.
The consultation process has officially begun, and Tata Steel Nederland will engage with the Central Works Council and trade unions in the coming weeks to finalize the proposed changes.
Looking ahead, Tata Steel Nederland is focused on advancing its green steel initiative. The plan includes replacing one of its current blast furnaces with a Direct Reduced Iron (DRI) unit and an Electric Arc Furnace (EAF) by the end of the decade. This change is expected to reduce carbon emissions by 5 million tonnes annually. Additional measures will be implemented to exceed regulatory environmental requirements and improve conditions for nearby communities.
T. V. Narendran, CEO and Managing Director of Tata Steel, and Chairman of Tata Steel Nederland’s Supervisory Board, emphasized the company’s commitment to becoming one of Europe’s most efficient and sustainable steel producers. He said, “This transformation will provide a strong foundation for the future, combining operational excellence with sustainable practices. We are working closely with the Dutch government and partners to drive the green steel transition.”
Hans van den Berg, CEO of Tata Steel Nederland, acknowledged the challenges but stressed the importance of the changes. “While this is a difficult step, it is necessary for creating a more sustainable and competitive company. We are committed to supporting our people through this process and aim to build a resilient business that thrives under all market conditions, while positively contributing to the environment.”
Tata Steel Group is one of the world’s largest steel producers, with an annual crude steel capacity of 35 million tonnes. With a global presence across five continents, Tata Steel posted a consolidated turnover of approximately $27.7 billion for the financial year ending March 31, 2024.
The company is focused on achieving Net Zero by 2045 and is undergoing a digital transformation to lead in ‘Digital Steelmaking.’ Tata Steel’s plants in Jamshedpur, Kalinganagar, and IJmuiden have earned recognition as global leaders in digital and sustainable steelmaking.
Tata Steel has also been recognized for its commitment to sustainability, diversity, equity, and inclusion, earning awards such as the World Economic Forum’s Global Diversity, Equity & Inclusion Lighthouse 2023. The company has consistently performed well on the DJSI Emerging Markets Index since 2012 and is ranked among the top 10 steel companies for corporate sustainability.
The company has also received numerous accolades, including the Prime Minister’s Trophy for the best-performing integrated steel plant, seven consecutive Steel Sustainability Champion awards, and the 2023 Climate Change Leadership Award by CDP. Additionally, Tata Steel was recognized as India’s most valuable mining and metals brand in 2024 by Brand Finance.
