Business Ministry Authorizes Talks with Azerbaijani Consortium on Troubled Italian Steelworks

Baku: The Business and Made in Italy Ministry, led by Minister Adolfo Urso, has given the green light for commissioners managing the troubled former ILVA Acciaierie d’Italia (AdI) steelworks in Taranto to begin preferential negotiations with an Azerbaijani consortium. This consortium is headed by Baku Steel Company (BSC) and the Azerbaijan Business Development Fund (ABDF), as per a note released by the ministry on Thursday.

According to Ansa News Agency, this decision follows a request made on March 21 by the commissioners, which received a positive opinion from the oversight committee. The Taranto plant, located in the Puglia region, stands as one of Europe’s largest steelworks and serves as a crucial employer with over 8,000 employees.

The Italian steelworks entered special administration last year after being declared insolvent, following the end of ArcelorMittal’s contentious period as the majority stakeholder. The facility has long been embroiled in legal conflicts concerning its environmental and health impacts on the local community.

In 2019, the European Court of Human Rights determined that the steelworks had a detrimental effect on the environment and the health of residents in the area. Additionally, the previous proprietors, the Riva family, were found guilty of contributing to elevated cancer rates in Taranto, particularly among the city’s children.