© Pedro Venâncio / RTL
The government has moved to acquire the troubled Liberty Steel site, marking a decisive step in repurposing one of the country's most strategic industrial zones following the steelmaker's collapse.
The Luxembourg government has announced plans to purchase Liberty Steel's 16-hectare industrial plot in the Wolser B zone between Bettembourg and Dudelange, a move that would effectively conclude the steelmaker's troubled presence in the country.
Liberty Steel's bankruptcy in November 2024 was followed by the collapse of a potential takeover by Turkey's Tosyali group in May. With no viable buyers emerging, authorities organised a job fair for the company's remaining 120 employees through a collaboration between the National Employment Agency (ADEM), the Federation of Luxembourg Industrialists (FEDIL), and trade unions.
Minister of the Economy Lex Delles confirmed the government's bid in an interview with our colleagues from RTL Télé, citing the site's strategic value as Luxembourg's largest available industrial parcel, with direct access to rail and motorway networks. The receiver must now evaluate the offer against two older, reportedly less competitive bids.
If approved, the acquisition would kickstart a multiyear redevelopment. "The existing structures require demolition, ground stabilisation, and full renovation – a process likely taking one to two years", Delles noted. The government also aims to boost industrial zone density and is discussing potential wind turbine installations with the Bettembourg and Dudelange municipalities.
What's next for the Liberty Steel site?
Minister Delles outlined the government's vision for the Liberty Steel site, emphasising the creation of "high-quality, safe jobs" with an increased overall workforce. A portion of the redeveloped land will be allocated to the defence sector, he confirmed.
Jean-Luc de Matteis of the Independent Luxembourg Trade Union Confederation (OGBL) urged a broader perspective, cautioning against overreliance on highly specialised roles. "Prioritising only qualified positions risks leaving employment needs unaddressed", he said.
While acknowledging current industrial sector challenges, Matteis struck a cautiously optimistic note. "Economic cycles can improve, but we need shock-absorbing measures to protect jobs", he argued, stressing that competitiveness hinges not just on wages but also social stability, infrastructure, and investment.
He called for lessons from Liberty Steel's collapse, citing three critical phases: the failed sale attempt, shareholder mismanagement, and post-bankruptcy fallout. The government must prevent such crises through proactive measures, he added.
Wolser B industrial zone: A patchwork of potential
The Wolser B industrial zone, home to the shuttered Liberty Steel site, reflects broader challenges in Luxembourg's industrial landscape. The adjacent Guardian–Luxguard 2 factory has stood idle for years before its recent state repurchase.
Current active tenants include Lamesch, a Japanese pharmaceutical manufacturer, and local steel firm MCM Steel.
While Luxembourg historically faced industrial land shortages, the government sees renewed potential in these underutilised sites. Provided, however, that they are renovated and that there are businesses interested in settling there.
