ASCOVAL plant will not relocate some of its activity in Germany

The German group Saarstahl was considering relocating 40% of the production of the North Plant, which had aroused the anger of many political elected officials and mobilized the government.

Le Monde

At the end of two intense days, the mobilization seems to have paid around the iconic ASCOVAL steel plant factory in Sainte-Saulve (North), threatened to see some of its activity transferred to Germany, by its Saarstahl owner.

After several meetings and at the end of a new meeting in the evening at the Ministry of the Economy with the German steel group, the cabinet of the Minister responsible for the industry, Agnès Pannier-Runacher said At the France-Presse Agency (AFP), Thursday, November 18, that “Saarstahl said its agreement to give up its proposed Ascoval business transfer to its German site”.

On Wednesday, the representatives of the CGT and CFDTs of the site redeemed four months ago by Saarstahl, had asserted that the steel mill could see 40% of its production temporarily transferred to Germany. At issue: the rise in electricity prices that feeds the site at the forefront of environmental matters.

The cheapest coal, but more polluting

Saarstahl had not confirmed, claiming to have taken “no decision”, but recognized that he studied “temporary options” to “limit the negative effects” of this rise, when his blast furnaces in Germany turn to the coal, much cheaper.

The government had quickly reacted, after several years of mobilization to save the site and again a recent loan of 20 million euros at the beginning of the year to pay the salaries. The Minister of Bruno Economy the Mayor had said on Thursday morning that it was “no question” that the steel mill goes its relocated activity “definitely” in Germany.

Recalling that he had “beat with a lot of energy” to save this plant employing 270 employees and producing steel bars dedicated to the manufacture of rails, especially for the SNCF, and find him a buyer, He had assured that the government did not intend to “drop it”.

To believe Bercy, the fighting-down combat has even started “several weeks” to alleviate the costs of companies affected by the rise in energy prices, including the announcement in early November of Assistance to the most electricity-consuming companies, including ASCOVAL.

a “scandalous” offshoring

The political reactions had not launched, in full electoral precamp, while the government has made the reindustrialisation and decarbonation of the industry one of its priority objectives. From Wednesday, the member for the North and Communist candidate for Presidential Fabien Roussel had written to Bruno the Mayor to ask “to intervene without delay”.

The candidates for the investiture of the Republicans Valérie Pécresse and Xavier Bertrand were also mounted in the niche, the first castigating a relocation “scandalous and ubuesque, especially a few days after the COP26 of Glasgow”.

This threat fell badly for the executive that shows the ambition to make France a land of industrial and decarbonated production, thanks to a weakly transmitting nuclear electricity in CO2.

“The government must access Ascoval’s demand on the electricity tariff,” said Thursday Xavier Bertrand, the current President of the Hauts-de-France Region, in the margins of a sitting by the Regional Council. “When we want, we can. The President of the Republic comes tomorrow in the region? Well, it is necessary that itself brings the answer very clearly,” added Xavier Bertrand, while Emmanuel Macron goes to the North and Aisne, Friday, for a displacement on the theme of territorial development.

The subject is sensitive, both the fate of Ascoval mobilized the Government and Emmanuel Macron in recent years, both as the Minister of the Economy under François Hollande, then since his arrival at the Elysee. In the redemption by the German steel group, validated in August last August, Bruno the Mayor had hailed “a very good news for the future of the French steel industry and for employees”.

/Media reports.