Hopes for a revival of the Dudelange site have collapsed after a last-minute withdrawal from the prospective buyer.

What has unfolded in recent years at the Liberty Steel site in Dudelange is nothing short of dramatic, said Economy Minister Lex Delles in an interview with RTL. The case is now back in the hands of the insolvency administrator, following the formal declaration of bankruptcy last year. According to Delles, the administrator had received offers from companies interested in taking over the site. One of these was a Turkish steel group, which submitted a formal bid that the administrator retained. Negotiations were progressing well with the aim of restarting production at the site, until the prospective buyer pulled out at the last minute.

The group reportedly cited EU import tariffs on steel from third countries as a key reason for their withdrawal.

Delles noted that the site is technically complex. One section is dedicated to technical processing, while another, the Galva unit, is used to treat raw materials. The Turkish group had planned to import steel from Turkey and Algeria for processing in Dudelange. However, imports from these countries are subject to EU punitive tariffs, which proved problematic.

Robert Fornieri, deputy secretary-general of the LCGB union, called the situation a political failure at both the national and European levels. He argued that Luxembourg lacks the tools to counter such regulatory obstacles, which he sees as poorly suited to specific situations like this one.
 
Asked what comes next for the site, Delles kept it brief. The case is back with the administrator, who will now reassess the offers previously submitted or potentially review new ones.
 
The unions remain sceptical about the chances of a successful outcome. Jean-Luc de Matteis of the OGBL says that the prolonged uncertainty facing former Liberty Steel workers is no longer acceptable. He emphasised the urgent need to create new job opportunities, stating that those affected have already experienced considerable delays and now require tangible prospects.
 
The future of the Dudelange site remains unclear for now. The administrator has three months to find a new operator. However, the site still poses challenges, including soil instability and localised pollution, as the minister pointed out. The authorities will now focus on finding the most viable solution.

Some former Liberty Steel employees had held out hope until the very end. One man, who had worked in the steel industry for three decades, lamented the gradual disappearance of Luxembourg’s industrial sector.

On 20 June, the Ministry of Labour and the national employment agency ADEM are holding a dedicated job fair for the 130-140 former Liberty Steel workers.