Italy is continuing to make the same mistakes in handling the economic crisis at the former ILVAsteelworks in Taranto as in the past because it fails to make it part of a clear vision on industrial policy and competitiveness, Confindustria president Carlo Bonomi said on Tuesday.
"After ten years, we find ourselves discussing the same issues and using the same tools, because we continue to make the same mistake," said Bonomi during a hearing before the Senate Industry Committee.
"We are pursuing solutions to the problem of the supply chain, which has helped to keep the Taranto plant going, but we fail to consider that the best way to safeguard it and, therefore, to protect an important part of the economy of southern Italy, isto includes it in a clear vision on industrial policy and the competitiveness of the country,” he continued.
Bonomi said what is needed today is an "industrial policy plan" and "this is why the debate cannot remain anchored to whether to activate and how to manage a bankruptcy procedure".
"The Taranto plant still has a crucial role to play," insisted the Confindustria president, adding that "steel also means social sustainability".
"When we talk about steel, we are also talking about theresilience of a large part of the production fabric" and "aboutthousands of jobs", said Bonomi, adding that the alternative isimports from non-EU countries with long lead times and a greater risk of price volatility.
"This is why we believe it is essential for Taranto to return to an important production capacity, as has been the case in the past," he continued, adding that "if Italy really aims to return to producing one million vehicles a year, having Ilva's steel is a strategic factor".
The industrial leader reiterated his call for a "convinced yesfrom politics and the government to a major industrial policyproject" concerning the former ILVA steelworks involving "atemporary project for the state to enter the management of the company as a bridge" before passing it on to other suitable stakeholders .
He said Italy will also "need to work very hard at European level", given that "for every million tonnes (of steel) produced, there will be an estimated 100 million euro of additional costs" due to the introduction of EU regulations.
The Taranto plant now called Acciaerie dìItalia is set to go into special administration after the majority stakeholder, multinational steel manufacturer ArcelorMittal, refused to put up more funds.
Unions are calling for the government, which currently owns 38% of ADI through Invitalia, to ensure continuity at the plant while its future is worked out.
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