The world steel industry is going through a very difficult period, but for Danieli Group, one of the world leaders in the production of steel plants, challenges can bring opportunities. Chief Executive Officer Giacomo Mareschi Danieli remains optimistic despite the uncertainties in the market, emphasising that this is the ideal time to make strategic moves and invest in innovation.
Steel industry, Giacomo Mareschi Danieli: navigating market uncertainty
Following three extraordinary years of post-pandemic recovery, the steel sector has entered a more complex phase. “The first half of the 2024-25 financial year has been weak”, confirmed Giacomo Mareschi Danieli. However, the manager sees a silver lining: “There are investment projects from our clients. But at the same time, clients are cautious; they want to understand market developments”. Danieli Group’s plant-making division continues to thrive, while the company’s steel production arm is focusing on breaking even. “Diversification is our strength, and we are not afraid of challenges”, he added. Looking ahead, the Chief Executive Officer predicts a market turnaround in the second half of the year, partly driven by potential economic changes related to the new US administration. To strengthen its position, Danieli Group is considering strategic acquisitions. “We are evaluating companies, small but highly specialized in aluminum and steel, to enhance our portfolio,” Giacomo Mareschi Danieli revealed. With solid financial support, the company is well equipped to implement this strategy. At the same time, the Group is investing €400 million in a new green steel plant under ABS, reinforcing its commitment to sustainable innovation. The steel industry’s transition toward cleaner production remains a priority, and the company is positioning itself at the forefront of this transformation.
Giacomo Mareschi Danieli: how to deal with rising energy costs and global trade changes
Rising energy costs represent a major challenge for European manufacturers, with Italy paying about 50% more for energy than Germany and France. Giacomo Mareschi Danieli recognizes this issue but believes that government measures, such as energy release initiatives, will provide some relief. On the global scene, the CEO sees both risks and opportunities. Donald Trump’s return to the White House could stimulate the US economy, benefiting the steel sector. However, the new duties could have an impact on global trade, particularly for machinery manufactured in China. Nevertheless, the CEO remains confident, claiming that Danieli Group’s unique experience shields it from competitive threats from the US market. The economic slowdown of China is another factor influencing the dynamics of the sector. “China is currently in crisis; the domestic market has collapsed and the tariffs they face do not help, as they are exporting less. But now is a good time to buy in China because they need to sell”, he noted. While the steel industry faces a mix of obstacles and opportunities, Danieli Group is using its resilience and long-term vision to stay ahead of the game. With a focus on strategic acquisitions, sustainable investments and managing global economic changes, Giacomo Mareschi Danieli is leading the company towards a resilient and innovative future.
