ArcelorMittal faces €7 billion lawsuit from Italian steel unit

ArcelorMittal S.A. (NYSE: MT) confirmed it received a summons to appear before the Court of Milan from the Extraordinary Commissioners of Acciaierie d'Italia S.p.A., the company operating Italian steel plants formerly managed by Ilva S.p.A.

The lawsuit seeks approximately €7 billion in damages, alleging ArcelorMittal induced local management to engage in mismanagement as part of a strategy to run down the plants and extract profits from Italy. ArcelorMittal categorically rejected all allegations and stated it will defend its position vigorously.

The steel company said it invested approximately €2 billion to turn around the structurally challenged business, with significant portions directed toward completing an environmental plan to ensure compliance with Italian Government requirements. ArcelorMittal stated it fulfilled all obligations and did not illicitly influence local management.

According to ArcelorMittal, the Italian Government removed legal protections in 2019 that were necessary for implementing the environmental plan without criminal liability risk. This removal led to ArcelorMittal's withdrawal from the lease agreement, which was later settled when Invitalia took joint control of the company.

ArcelorMittal initiated international arbitration against the Republic of Italy in June 2025, claiming unlawful expropriation of its investment. The company seeks damages exceeding €1.8 billion, alleging the Italian Government implemented discriminatory measures that harmed its investments and broader European interests.

The dispute involves Acciaierie d'Italia, which has been under joint control with Invitalia, an entity controlled by the Italian Ministry of Economy and Finance, since 2021 as part of a public-private partnership aimed at relaunching the business.

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