Giacomo Mareschi Danieli prioritizes improvements to existing facilities at Danieli Group

Under the leadership of CEO Giacomo Mareschi Danieli, Danieli Group has announced a strategic pivot aimed at enhancing the efficiency of its existing facilities rather than pursuing the construction of new ones. This decision comes as the Group, which boasts a turnover of nearly €4.5 billion and a net profit of just under €241 million, faces a contracting global market after two years of unprecedented growth.

The surge in energy costs, which account for approximately 30% of production expenses, has significantly impacted market dynamics. This shift is reflected in the Group’s 2023/2024 financial results, which show an increase in revenues from the Plant Making sector, while the Steel Making division has experienced a downturn largely due to escalating energy expenses.

In response to these changing market demands, the Group intends to prioritize the optimization of its current facilities. “No more large-scale plants for increased production”, stated CEO Giacomo Mareschi Danieli: “Improvements to existing facilities are essential for greater efficiency, competitiveness, and sustainability”.

To support this direction, Danieli Group has earmarked an investment plan of €572 million for ABS, which includes the establishment of a new production line featuring an advanced digital furnace powered by renewable energy sources and equipped to monitor consumption.

Additionally, sustainability remains a key element of this strategy. The Group aims to transition from 16% to 45% of its products being transported by rail by 2030, reinforcing its commitment to environmentally responsible practices.