Source: thyssenkrupp Steel Europe AG / PresseBox, with additional reporting from SMM and SteelRadar
Thyssenkrupp Steel, Germany's largest flat steel producer, has implemented around 4,000 of the approximately 11,000 workforce reductions planned under its restructuring program, the company announced at its Capital Market Day in London on 28 September 2026. Presenting its medium-term ambition alongside the progress report, the steelmaker said it is targeting adjusted EBITDA of at least 1.2 billion euros, an adjusted EBITDA margin of at least 11 percent, and positive free cash flow.
The workforce reductions are being carried out under a collective restructuring agreement concluded with the IG Metall trade union at the end of 2025, and include both direct job cuts and outsourced positions. Another key step, the separation from the joint venture Huttenwerke Krupp Mannesmann (HKM), was completed in the summer of 2026. Together with a cost-efficiency program launched in 2024, the company said these measures have created the essential conditions for a lasting improvement in profitability. Self-help measures within the company's own control are expected to contribute more than 800 million euros to adjusted EBITDA, and contracts have already been agreed for more than half of them. Chief Financial Officer Philipp Conze said the milestones achieved so far had activated significant value levers and would make the company more resilient.
Strategically, thyssenkrupp Steel is prioritizing value over volume. Nearly two-thirds of its portfolio consists of premium steel grades, and the company has invested more than 1 billion euros in modernizing its production network in recent years. It operates Europe's largest integrated steel production site and serves more than 900 customers through eight processing facilities, while a direct reduction plant under construction in Duisburg is intended to advance its transition to low-carbon steelmaking. According to earlier company disclosures, annual production capacity of 11.5 million tonnes is being aligned with a shipment target of 8.7 to 9 million tonnes.
The market environment also appears to be turning more supportive. Demand in the steelmaker's key end markets has remained broadly stable, while the trade protection measures in force in the European Union since July 2026 now cover more than 80 percent of the European flat steel market, contributing to greater stability and a more favorable pricing environment. Chief Executive Marie Jaroni said the aim is to develop thyssenkrupp Steel into a profitable, resilient and future-ready steel company. The separation of thyssenkrupp Steel Europe from its parent thyssenkrupp AG, potentially with the parent retaining a minority stake, remains the stated strategic objective.
