Nippon Steel has announced plans to invest approximately €900 million in the Košice steelworks in Slovakia, including the construction of an electric arc furnace and a new oxygen plant. The company expects to receive a total of €350 million in subsidies from the EU Modernisation Fund, with the aim of strengthening long-term competitiveness and transitioning to low-carbon steel production.
USSK, Nippon Steel’s main European base, has decided to invest approximately €900 million in the construction of an electric arc furnace and a new oxygen plant at the Košice steelworks in Slovakia. The project covers the Košice steelworks and will be led by Nippon Steel through USSK. It is expected to strengthen the local production system.
The investment includes subsidies from the EU Modernisation Fund: €310 million for the electric arc furnace and €40 million for the oxygen plant, for a total of €350 million. The subsidies are expected to be formally processed through the execution of subsidy agreements with the government and will cover part of the project costs.
The investment aims to enhance USSK’s long-term competitiveness while promoting the transition to low-carbon steel production in Europe. Nippon Steel has emphasised its policy of strengthening its production base in the European market and advancing decarbonisation initiatives.