Steel Mills
CRU: Blackout knocks out ArcelorMittal mill ‘for months’
Written by CRU
August 5, 2025
The analysis above was first published by CRU. To learn about CRU’s global commodities research and analysis services, visit www.crugroup.com.
Damage caused by two power outages has forced ArcelorMittal to bank the blast furnace at its Las Truchas works in Lazaro Cadenas, Michoacan, western Mexico. Repairs may take up to six months.
The company has stopped production lines, which mainly produce rebar, and has declared force majeure following the July 22 incident. Putting right the damage will take four to six months, reducing the company’s production by around 30%, local media reported.
The power outage caused “irreversible damage to our steam turbines, damaging three of the four that are necessary for the safe operation of the blast furnace,” company director Victor Cairo was quoted as saying in a letter sent to suppliers. “We are forced to stop production, supplies, distribution, and inherent logistical activities.”
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