Rumors about China wanting to cut steel production to alleviate excess supply and restore profitability for steel mills has stirred the European market: mining stocks and steel producers have experienced an outperformance in recent days. The Italian giant Danieli Group registered a 5.12% increase to 31.85 euros but is aiming for its historical high of 39.20 euros (reached in June 2024).
The Italian Group based in Buttrio also benefits from a commission received from Chinese steel producer Donghua Iron & Steel for two electric arc furnaces that will be installed in the Tangshan plant, in the Chinese province of Hebei. Equipped with Zerobucket technology, these furnaces allow for a 10% reduction in ignition time and a 40-50% reduction in shutdown time, resulting in improved productivity and lower energy consumption. Last but not least, the technology enables a significant reduction in CO2 emissions.
The two furnaces for Donghua Iron & Steel are expected to become operational in the second quarter of 2026. With this latest order, the electric arc furnaces commissioned to Danieli Group using the company’s technology – now a benchmark for the transformation and technological upgrade of the steel industry – rise to 31.
