After the three exceptional years that followed the Coronavirus pandemic, steel industry is experiencing complex times, but Italian steel giant Danieli Group keeps showing confidence and pushes for innovation. In a recent interview, CEO Giacomo Mareschi Danieli claimed that “now is the time to seize the best opportunities”.
“The first half of the 2024-25 trend was weak – stated the Chief Executive Officer – The silver lining is that there are investment projects from our clients. But at the same time, clients are cautious; they want to understand market developments. The plant-making sector remains very positive for us. As for steelmaking, the goal is to break even. We are, however, a group that diversifies a lot, so challenges do not scare us”. According to Giacomo Mareschi Danieli, there will be a turnaround in the second half of the year also linked to Donald Trump’s presidency that will probably give a boost to the economy. In this context, the CEO informed that Danieli Group is evaluating some strategic acquisitions to complete their offering. “The idea is to have a portfolio of companies, perhaps small but highly specialized in aluminum or steel. We have the financial solidity to implement these plans”, he affirmed. As for ABS, the company’s intention is to invest 400 million euros into a new green plant within the year.
Steel sector is also struggling with rising energy costs which the manager recognizes as a “big problem” but he is positive that Italian government’s measures, such as energy release packages to support companies in the energy transition, will help. He then stressed: “In Italy we pay about 50% more for energy compared to competitors like Germany and France”.
Looking ahead, Giacomo Mareschi Danieli thinks that the return of Donald Trump to the White House and China’s economic hangover will open the door to new opportunities. “The elected president of the USA, during his first term, gave a strong boost to the economy. If he does the same now, it will be a good thing for our sector – remarked the manager – The alleged tariffs could lead to a rise in inflation in Europe. We fear them for the machinery that the group manufactures in China, but if they are introduced, I don’t think we would lose market share for that reason, since there is no competitor in America. China is currently in crisis; the domestic market has collapsed and the tariffs they face do not help, as they are exporting less. But now is a good time to buy in China because they need to sell”.