Steel Mills

Explosion rocks ArcelorMittal’s DR plant in Mexico

Written by Laura Miller

August 20, 2025

An explosion occurred on the afternoon of Monday, Aug. 18, at the ArcelorMittal Lazaro Cardenas mill in Michoacan, Mexico.

The company reported a “strong” explosion at the direct reduction part of the massive steelworks.

Safety and emergency protocols were immediately activated, the company said. No injuries were reported. Workers and the local community flooded social media with videos showing damage to the plant and offices, as well as smoke billowing from the mill.

The steelmaker said it is still working to determine the cause of the explosion and assess the damage to the equipment necessary for DRI production.

“ArcelorMittal Mexico is immediately working on contingencies to ensure supply and meet the needs of our customers,” the company said in a statement on Wednesday, Aug. 20.

This incident follows another significant occurrence at the Lazaro Cardenas mill just a month ago. Two power outages resulted in ArcelorMittal shutting down the mill’s lone blast furnace, halting the production of long products. Repairs are expected to take up to six months to complete.

The Lazaro Cardenas plant also features four electric-arc furnaces used for producing flat-rolled products. The status of those furnaces and other production lines is unknown at this time.

Laura Miller

Laura Miller is a reporter and editor for Steel Market Update. Since 2007, she has held various editorial and marketing positions with steel industry publications, associations, and mills. In 2021, after a five-year hiatus working across other industries, she returned to steel trade journalism, joining SMU in 2022. She is a member of the Association of Women in the Metal Industries and a past-president of the AWMI Pittsburgh Chapter. She holds a BA in Latin American Studies from Edinboro University of Pennsylvania. She can be reached at laura@steelmarketupdate.com or 724-759-7869.

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