Feralpi investes over €220 million in green steel production in Saxony

The Feralpi Group, a family-owned international company based in Italy, has invested over €220 million in its site in Riesa, Saxony—the largest single investment in its German operations to date. With the commissioning of a new spooler rolling mill, around 100 new industrial jobs will be created in the region.

The state-of-the-art rolling mill is the first of its kind in Germany. It enables endless rolling through billet welding and features an emission-free, inductive heating system. A 300-meter-long hot charging roller table connects the new mill directly to the existing continuous casting plant. This electrically powered continuous hot charging process eliminates direct CO₂ emissions (Scope 1), marking a significant step toward decarbonizing steel production. The plant will produce hot-spooled coils weighing up to eight tonnes—a product that sets new standards in the market.

An Industry in Transformation

The steel sector is undergoing a profound transformation on the path to climate neutrality. This shift requires innovative products, efficient processes, and a strong commitment to circular economy practices.

Saxony’s Minister-President Michael Kretschmer commented: “This investment reflects the company’s confidence in Saxony as an industrial location. It sends a strong signal in challenging economic times. It is essential that industrial companies like Feralpi Stahl continue to find conditions that support value creation and technological change under fair competition. Competitive energy prices and faster permitting processes must be addressed urgently by the federal government.”

Giuseppe Pasini, President of the Feralpi Group, added: “The inauguration of the new rolling mill in Riesa reflects our long-term vision and continuous investment in advanced technologies. This strengthens our global competitiveness and supports our shift toward more sustainable production. We see Germany as a growth market and want to be a driver of economic recovery. To achieve this, we need close cooperation with German and European policymakers—especially to tackle high energy prices and to recognize scrap as a strategic raw material for a resilient circular economy. Only with targeted support in these areas can we realize our full potential and contribute to a sustainable future for Germany and Europe.”

A Symbol of Future-Readiness and Industrial Change

The new production line is part of a broader modernization program, which also includes new scrap processing facilities, an in-house substation, and upgraded plant logistics. These measures aim to make recycling processes more efficient and integrate renewable energy more reliably into operations.

“With the start-up of the new rolling mill, we’re putting our vision of green steel into practice,” said Uwe Reinecke, General Manager of Feralpi Stahl. “We are investing not only in technology, but also in people who will help shape this transformation. For us, this is a clear commitment to Riesa, to Saxony, and to Germany as a steel-producing nation.”

Upon completion of the full investment program, the number of employees at the Riesa site is expected to increase from 850 to 950. Feralpi Stahl is one of only two steel plants in Germany certified under the EU’s EMAS environmental management scheme, meeting emission levels well below legal limits.

Source and Photo: Feralpi Stahl