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Italy's top court upholds shutdown of former Ilva steelworks, in setback to Meloni - Finance news and analysis from Global Banking & Finance Review
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Italy's top court upholds shutdown of former Ilva steelworks, in setback to Meloni

Published by Global Banking & Finance Review

Posted on October 29, 2026

1 min read

· Last updated: October 29, 2026

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Italy Supreme Court Confirms Ilva Steelworks Shutdown in Taranto

Supreme Court Ruling and Its Implications

Background of the Ilva Steelworks Case

ROME, Oct 29 (Reuters) - Italy's Supreme Court upheld a lower court ruling ordering the shutdown of blast furnaces at the former Ilva steelworks in the southern city of Taranto, on health and environmental grounds, legal sources said on Thursday.

Impact on Government and Employees

Challenges for Giorgia Meloni’s Government

The ruling hampers efforts by Giorgia Meloni’s government to rescue the country's largest steelmaker, adding uncertainty for the plant and its roughly 8,000 direct employees less than a year before the general election.

Legal Proceedings and Court Decisions

Court of Cassation's Final Decision

The Court of Cassation rejected an appeal against a decision by a Milan court which had ordered the furnaces to be shut on health and environmental grounds.

Reporting Credits

(Reporting by Marco Roberti and Giselda Vagnoni, editing by Gavin Jones)

Key Takeaways

  • The Court of Cassation rejected an appeal and upheld the shutdown order issued by a Milan court.
  • The decision prolongs uncertainty for Italy’s largest steel plant and its roughly 8,000 direct employees.
  • The ruling complicates Meloni’s strategy to rescue the plant as she seeks stability before the next general election in October 2027.

Frequently Asked Questions

Why was the former Ilva steelworks ordered to shut down?
The shutdown was ordered on health and environmental grounds as ruled by Italian courts.
What impact does the Ilva closure have on Giorgia Meloni's government?
The ruling hampers Meloni’s efforts to rescue Italy's largest steelmaker, adding uncertainty to the plant and its workers.
How many employees are affected by the Ilva steelworks closure?
Roughly 8,000 direct employees are affected by the plant’s shutdown in Taranto.
Which Italian court upheld the shutdown order for the Ilva steelworks?
Italy's Supreme Court (Court of Cassation) upheld the lower court’s shutdown order.
What was the basis for the legal appeals against the shutdown?
The appeals challenged the court-ordered shutdown on health and environmental grounds, but were rejected.

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