Finance
Elkem reduces ferrosilicon production in Norway, Iceland
Published by Global Banking & Finance Review®
Posted on October 20, 2025
1 min readLast updated: January 21, 2026
Global Banking & Finance Review®
Company
Published by Global Banking & Finance Review®
Posted on October 20, 2025
1 min readLast updated: January 21, 2026
Elkem is reducing ferrosilicon production in Norway and Iceland due to weak steel demand and market challenges, potentially leading to temporary layoffs.
HELSINKI (Reuters) -Norwegian metals maker Elkem said on Monday it will reduce ferrosilicon production in Iceland and its Rana plant in Norway due to challenging market conditions, and that this may result in temporary layoffs.
Elkem said weak demand from steel producers had led to higher inventories and lower prices while European Union efforts to potentially limit ferrosilicon and ferroalloy imports had further increased uncertainty.
"We will we use the shutdown to reduce our inventories," silicon products Senior Vice President Inge Grubben-Stromnes said in a statement.
The core product at Rana and in Iceland is ferrosilicon, a critical raw material for the steel industry, Elkem said.
The Oslo-listed compamy is majority-owned by China's Bluestar.
(Reporting by Essi Lehto, editing by terje Solsvik)
Ferrosilicon is an alloy of iron and silicon, primarily used as a deoxidizer in steel production and as a reducing agent in the production of silicon metal.
Temporary layoffs are short-term job separations where employees are not permanently terminated but are not required to work for a specified period due to business conditions.
Inventory management is the process of ordering, storing, and using a company's inventory. It involves overseeing the flow of goods from manufacturers to warehouses and from these facilities to point of sale.
Market demand refers to the total quantity of a good or service that consumers are willing and able to purchase at a given price level in a given time period.
Ferroalloys are alloys of iron with other elements, used primarily in steelmaking to enhance certain properties of the steel, such as strength and resistance to corrosion.
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