ThyssenKrupp Brazil steel mill is still running

Reuters reported that ThyssenKrupp steel mill in Brazil which is up for sale is still running after the municipality of Rio de Janeiro ordered it to halt operations.

A spokesman of the company said that "Operations have not stopped and are continuing.”

Rio de Janeiro, Brazil's second largest city said that ThyssenKrupp's mill called Cia Siderúrgica do Atlántico SA did not have an operating licence.

ThyssenKrupp cited communication problems surrounding the application for a licence which has to be renewed every 6 months. It said relevant documents have been handed in by now.

According to Rio de Janeiro’s official gazette CSA would incur a daily fine of USD 281 if it refuses to stop operating.

ThyssenKrupp is trying to sell its ill-fated Steel Americas business comprising CSA and a steel plant in Alabama which has cost the company billions of EUR.

It wrote down the value of Steel Americas to EUR 3.9 billion from 7 billion last month because bids from potential buyers were too low.

CSA the largest foreign investment project ever in Brazil is 73% owned by Germany’s ThyssenKrupp AG while Brazil’s Vale owns the rest.