Spain: Factories stop output over high energy prices

2022-09-04 03:35:10

(MENAFN) Steel giant ArcelorMittal stated on Thursday that the firm will not revive its factory in Bilbao, Spain as scheduled this week because of skyrocketing energy costs.

"The price of energy is high, and it eats into our margins, so the idea is to not restart production because we would probably lose money," on the words of Borja Maestre, a spokesperson from the ArcelorMittal Sestao factory.

That is only one statement that could cause the loss of service and production of the Spanish industry.

For the first time, paper producer Saica Group declared that it would close three of its four factories in Spain "given that the price of gas has gone up by 300 percent in Spain in just eight months."

Other firms recently proclaiming output suspensions or factory shutting in Spain include Pamesa, Ferroglobe, and Michelin, which could cause hundreds of dismissals.

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