Newsroom Tata Steel Nederland

Herman Dijkhuizen new member Supervisory Board Tata Steel Nederland

Thu, 29 Aug 2024 09:31:00 +0200

Herman Dijkhuizen succeeds Marius Jonkhart, who has been a member and vice-chairman of the Supervisory Board since 1 January 2006 and chairman of the Audit Committee since its establishment. As member of the Supervisory Board, Herman Dijkhuizen will become the new Chairman of the Audit Committee.

T.V. Narendran, Chairman of the TSN Supervisory Board: “We look forward to welcoming Herman Dijkhuizen as a new member of the Supervisory Board of Tata Steel Nederland and Chairman of the Audit Committee. Herman has a strong financial background and is a seasoned supervisor who, at companies such as the railway company Nederlandse Spoorwegen (NS) and Dutch telecommunications company KPN, has demonstrated his in-depth experience in weighing the interests of multiple stakeholders during transitions and times of change. At the same time we would like to thank Marius Jonkhart for his 18-year tenure as member of TSN’s Supervisory Board. Marius’s contribution has been of great importance, with his analytical thinking, strong financial knowledge and deep understanding of governance.

Herman Dijkhuizen: “Tata Steel Nederland is an important employer in the IJmond region, a major contributor to the Dutch economy and a key player in the European steel industry. It makes it special to be appointed upon the recommendation by the Central Works Council. The current transition towards a sustainable way of producing steel is a big challenge and a fundamental step for Tata Steel Nederland and all its stakeholders, including the TSN employees. I am looking forward to contribute, in my role as member of the Supervisory Board, to this transition and the normal course of business.“

Hans Turkesteen new CFO Tata Steel Nederland

Tue, 27 Aug 2024 10:02:44 +0200

During his career, Hans Turkesteen has fulfilled several roles as CFO of companies such as Stork, Imtech and Intertrust, always with a focus on major transformations and improving business results.

'Large industrial transition project'

“We are pleased that Hans will join the Board of Management of Tata Steel Nederland. His experience in driving transformation projects will be helpful in the context of the large industrial transition project which we are now undertaking” says T.V. Narendran, CEO & Managing Director, Tata Steel Limited and Chairman of the Supervisory Board, TSN.

‘Sustainable future’

“I am excited to join Tata Steel Nederland at a time when it is working to move to a new and sustainable future. I look forward to working with all my Tata colleagues to deliver this transition successfully”, adds Hans Turkesteen.

In his role as CFO of TSN, Hans Turkesteen will work closely with Tata Steel Limited's Executive Director and CFO, Koushik Chatterjee, on TSN’s overall financial stewardship including the turnaround delivery and securing a sustainable future of TSN.

T.V. Narendran, CEO of Tata Steel Ltd: “In the Netherlands it's also about health, and not just about reducing CO2 emissions”

Wed, 19 Jun 2024 16:14:14 +0200

“In the Netherlands, it's not just about reducing CO2 emissions, but it’s also about health,” says Narendran. “Until a few years ago, the focus was mainly on green steel production in the future. Now, the conversation is also about how clean you are while making steel in the present. It's something we're committed to.”

This month, the Dutch government received the green light from the Dutch parliament to negotiate with Tata Steel Nederland about making the steel production in IJmuiden more sustainable. The Green Steel Plan includes the replacement of Blast Furnace 7 and Coke Oven Plant 2 with a Direct Reduction Plant (DRP) and an Electric Arc Furnace (EAF) by 2030, reducing CO2 emissions by 40%.

“Not easy, but we are confident”
“We will do everything we can to achieve this transition in the quickest possible time and the most technically feasible way,” says Narendran. He acknowledges that it won't be easy, pointing out the challenges of renovating Blast Furnace 6 in the past year. “This project (the Green Steel Plan) is more than five times larger and even more complex. At the same time, restoring the trust of the community and support for the renovation is crucial.”

Narendran also notes that the government will be keeping a close eye on the renovation and will intervene if necessary. “And that is correct. But I am confident. We have the advantage of being able to make full use of the knowledge and experience we have gained in India over the past decades in building new installations, also for IJmuiden. And as management, we will also keep an eye on the ball because the board is in nature an operational board.”

Rationale behind government subsidy
Narendran is clear about the rationale behind government subsidies for the European steel industry, summing up: “For any sector that is in transition and that we consider strategically important, government support in some form is not uncommon. Look at the automotive sector, would there be electric cars on the road now without subsidies? Or take the energy sector: would our solar panels and wind turbines have been commercially viable without any support in the early stages?”

The second argument is a level playing field. “How can Tata Steel Nederland remain competitive [without support], when 40% to 60% of the capital support for the green project has already been allocated by the governments in Germany, Belgium, Spain, France, or the United Kingdom?”

Finally, Narendran believes that subsidies from European governments for their steel companies are the most cost-effective way to reduce CO2 and achieve their climate goals. “With the state support that various European governments have pledged, they expect to achieve the greatest CO2 reduction benefit.”

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T.V. Narendran, CEO Tata Steel Ltd: “I believe we need to change as a steel company”

T.V. Narendran, CEO Tata Steel Ltd: “I believe we need to change as a steel company”

Wed, 14 Feb 2024 12:42:51 +0100

“I regularly spend one or more days in the Netherlands,” says Narendran. “Not only for formal meetings, but also to talk with people who are directly or indirectly involved with the company and our IJmuiden steelworks.”

A lot has happened around Tata Steel Nederland in recent years. In a business sense with, for example, COVID-19, the war in Ukraine and the European economic situation, but especially with regard to the position of the company in the local community. Narendran: “The latter in particular has my attention. I want to understand the situation and the concerns as best as possible. For me, every visit is about listening and learning.”

Proud of IJmuiden

“The IJmuiden steelworks is one that we have always been proud of,” says Narendran when talking about Tata Steel’s largest operation outside India. “It is a factory that has generally done very well, financially and operationally. It is also a site with a future.”

Europe is valuable to Tata Steel, and Narendran sees the Netherlands as a bridgehead. In Europe the company faces an advanced market. Customers are critical and demanding. “Europe is clearly undergoing an important transition. The questions and expectations of society, government, customers and local residents are changing. We cannot and must not ignore this. In this sense, Europe is ahead of India, because concerns about the climate and living environment will also come into play there.”

“But to manage expectations: we can be the cleanest and greenest steel company in the world, we will always be a steel company. So there will never be zero noise or emissions. A steel manufacturing operation will never become an electronics factory.”

Strategic advantage

Talking about the importance of steel and the transition to green steel, Narendran calls for government support: “Steel is inextricably linked to the world we live in. Without steel there would be no washing machines, food and homes or home furnishings. Without steel, there would be no green energy, sustainable industry or electric transport. And not a single steel company in the world can realise the transition we all want to make without government support. That applies to the entire steel industry, not just to us. You now see this happening elsewhere as well. Moreover, over the years you have seen that governments have played and wanted to play an active role in transitions in general.”

Narendran believes that Tata Steel Nederland has a strategic advantage to successfully make the transition to green steel: “The factory is a leader in the industry and is located in one of the best locations in Europe for the future. Due to our location on the coast and our own seaport, we have direct access to sea and therefore the supply of raw materials and a good connection to customers. Wenckebach saw this very clearly 100 years ago when he founded this site. And soon there will also be a direct connection with offshore wind power.”

Narendran believes it is only logical that the Dutch government asks many critical questions in that process. “Their view is not essentially different from that of banks or Tata Steel itself. However, apart from the money we will put in our Green Steel plan ourselves, we will need government support, just like our competitors in Germany, Belgium and France. And while we establish a European level playing field as much as possible, I understand that the Dutch government will hold us even more accountable for our responsibility to become more sustainable and that there must be confidence in our intentions.”

Europe leads as a green steel market

In the 35 years that Narendran has worked in the industry, he has learned that it is important to be alert to disruptions – from new players or from more strategically operating countries and regions. “These are not new phenomena in themselves. You must continue to look at where your own added value lies. It is constantly shifting,” he says.

Narendran analysing: “The U.S. steel company Nucor, for example, decided to use the electric arc furnace at the end of the 1970s and to work in a new way. It is now one of the most valuable steel companies in the world. From the late 1980s onwards, a large part of the aluminum industry shifted to the Middle East because that region focused on lower energy costs. Something that seems to become even more important in the future.”

Against the backdrop of the shifting dynamics in the global steel industry, Narendran believes in Europe: “Combined with the sophistication of the European market and the CO2 policy framework, I think Europe has an advantage over the rest of the world.”

“For example, we can shift the value of steel more from the value of raw materials to the value of steel for customers. With a deeper customer embedding and through value analysis and value engineering, we can help our customers better utilise the added value of steel. As Tata Steel and Tata Steel Nederland, we can certainly lead the way in this. That is good for the company, for the Netherlands and India, for our prosperity and from a geopolitical point of view,” Narendran concludes.