Arcelor Mittal closure: A blow for northern KZN

Steelmaker Arcelor Mittal – Iscor in the good old days – announced the imminent closure of 2 plants, in Newcastle and Vereeniging. While Vereeniging is a major industrial area, Newcastle has been dependent on the jobs provided by coal mines – many now closed – and the steelmaker. We asked leather and apparel businesses in the area what effect it might have.

Hanno van den Berg, Afritan cc
Dundee, KZN, SA – I only heard about the closure of Arcelor Mittal Newcastle yesterday afternoon (Tuesday), so I am still processing the information. It was mentioned that 3500 jobs will be affected directly and immediately, and there is no telling how many more will be impacted in the areas surrounding Newcastle.
     The situation is likely to be devastating for the local economy, which in turn, will affect our local customers. While most of our business is concentrated in the larger centres, I am genuinely concerned about the repercussions this will have on Newcastle, Dundee, Volksrust, Durnacol and all the surrounding towns.


Ashok Kasiram, Junior Outfitters
Newcastle, KZN, SA – 2024 was one of the toughest years of trading in my 49 years of retail. The news of Arcelor plant closing is going to have a devastating blow to our already struggling economy of Newcastle.  Not a good time to be in business.


Manoj Morar, Impressions
Dundee, KZN, SA – We’re 45 to 60 minutes away from Newcastle, so while I’m sure it will have an effect on the area, it won’t affect us as directly as retailers in Newcastle itself.


Salim Ayoob, Jumbo Footwear
Johannesburg, Gauteng, SA – As wholesale suppliers to many retailers in that northern KZN area, Arcelor’s closure is very worrying. It’s already a depressed area, and 2024 was a tough year for them. There’s not much we, as suppliers, can do, beyond trying to source more budget lines.