Smederevo steel plant to switch to idle mode

(Photo: zelsd.rs)

Bojkovic told Tanjug news agency that the steel mill would switch to the idle mode for several reasons, primarily due to difficulties in the supply of raw materials coming from war-stricken Ukraine.

- The second reason lies in previously planned small repairs. Also, Zelezara Smederevo is trying to minimize costs and improve results by consolidating the ways of financing and the supply of raw materials - said Bojkovic.

He said that this idle mode was controlled and completely different than all previous modes because it was known that production would be resumed.

Certain media announced Saturday that Zelezara Smederevo would halt production because it lacked raw materials.

- Such information is spread by malicious people who want to destabilize the operations of the steel mill at the moment when several investors have their eye on it - Bojkovic assessed.

It was announced last week that a U.S. company had expressed interest in the Smederevo steelworks. This company paid a visit to the Serbian government on April 30th to discuss the terms of potential partnership.