Production at ArcelorMittal South Africa’s Newcastle Works has officially ceased its long steel production, marking the end of a significant chapter in Newcastle’s industrial history — even as discussions continue to rescue the steel giant and secure the future of the South African steel industry.
This follows a cautionary SENS announcement on Tuesday, 4 November 2025, in which the company explained that, although it will continue to trade on the stock market, the process to place the Longs Business into care and maintenance has progressed.
As a result, most plants at Newcastle Works have been placed into care and maintenance; production has halted and limited trading will continue to despatch the remaining stock — impacting both domestic supply chains and industrial output.
Despite this announcement, the company further stated: “Engagements to explore alternative solutions continue. Further announcements will be made in relation to these matters as and when appropriate.”
The announcement comes after the National Union of Metalworkers of South Africa (Numsa) challenged the Section 189 process concluded in March 2025. Consequently, the Labour Court ruling required that the company conduct further consultations, that no additional dismissals take place until this consultation process is completed, and that employees should be reinstated, as reported by Newcastillian News.
The court further instructed that the consultation process be reopened immediately and that employees who had been retrenched be reinstated with remuneration for the period of their dismissal.
Numsa argued that the original process was flawed, citing a lack of transparency and proper engagement, while also noting that critical operational decisions were being made during potential acquisition talks with the Industrial Development Corporation, which could impact the broader steel sector in South Africa.
In response to the court’s ruling, ArcelorMittal South Africa has applied for leave to appeal the decision, contending that extensive consultations were undertaken and that placing the Longs Business into care and maintenance was unavoidable given severe financial pressures.
These pressures include rising energy costs, import competition and logistical challenges, all of which continue to challenge the viability of long steel production at Newcastle Works, as reported by Newcastillian News.
In light of these developments, the future of Newcastle Works and long steel production in South Africa remains uncertain, with the outcome dependent on ongoing consultations, potential legal proceedings and strategic decisions by ArcelorMittal South Africa.
While the immediate focus is on managing operational and financial pressures, the broader implications for employees, local communities and the national steel industry will continue to unfold in the coming months.
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3 Responses
This is old news already, all we want to know is what the outcome of the appeal is and whether people will be getting their jobs back or not?!
Good day. This is not old news. As per the article, AMSA has been in the process of winding down the business for some time, looking for solutions to the problem. However, now, they have stated that longs has officially ceased production.
Take your money and run what are you still can get some money before the company goes into into liquidation then you get nothing I work for robor tube 30 years of service no retrenchment package claim unemployment and get your pension that’s the best thing to do