Tata Steel Nederland halts operations of Tata Steel Istanbul Metal Industry in Turkey

TSIM has achieved numerous successes in Turkey over the past 23 years through its production, sales, and post-sales activities. However, the specificity and limited scale of the production operations in Turkey have been negatively affected financially by rapidly changing market conditions, such as increased competition, price fluctuations, and evolving market demands. These challenges are anticipated to persist in the medium and long term. It has therefore been decided to cease operations in Adapazari. 

“The impressive performance displayed by TSIM stands as a significant testament to Tata Steel’s confidence in Turkey. However, with TSIM’s high differentiation of its product and service portfolio in Colors, and considering the extreme market developments, sustaining its business model is no longer feasible,” explains Gunilla Saltin, Member of the Board of Tata Steel Nederland. “The decision to cease operations has not been taken lightly. It is with great regret that, following a detailed review of the business model and strategy, Tata Steel Nederland decided to cease operations at Adapazari. We emphasize the uninterrupted continuity of our sales and after-sales services in Turkey.” 

Regrettably, the decision will put ninety jobs at risk. Appropriate information processes with employees and their representatives will begin soon practicable. Tata Steel will explore opportunities to help employees and provide assistance for them. Intensive effort will be made to help employees with new employment. Appropriate redundancy packages will be in place. 

It is decided that the closure of production and operations at Adapazari will take place progressively over the coming weeks.