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ArcelorMittal to keep 50% production cuts in Q2

To speed up destocking, ArcelorMittal, the world's largest steelmaker will keep production cuts of up to 50 percent for the second quarter, but at least further retrenchment may not be necessary according to CEO, Lakshmi Mittal.

The destocking and production cut might end this quarter but the closed facilities of ArcelorMittal will not restart until demand improves.

Lakshmi Mittal added, "Although market conditions remain challenging, a technical recovery is inevitable and ArcelorMittal will benefit from this."

Recent reports suggest ArcelorMittal may have to close some of its facilities permanently but the giant still has no plans to sell any of its core assets.

The shutdowns are set to reopen when demand improves and ArcelorMittal will not sell core assets and have to support its finance. Source: Yieh.com
May 2, 2009 14:09
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