Hasçelik initiates €200 million investment drive in pursuit of 2024 goals

27 October, 2023 by

During a press conference held by Turkish specialty steel producer Hasçelik, Adnan Naci Faydasıçok, the company's chairman and CEO, unveiled Hasçelik's new investment initiatives and objectives for 2024. Hasçelik aims to boost specialty steel production and bolster the country's current account surplus through the establishment of two new production facilities, commencing with an investment of around €200 million this year.

One of the significant projects is the commissioning of a €150 million melting shop in Osmaneli, Bilecik, slated for the final quarter of 2024. This melting shop, equipped with a Consteel® electric arc furnace, a new ladle furnace, and twin vacuum degasser supplied by Italy-based Tenova, will possess an annual capacity of 250 thousand tons. The CEO emphasized that this investment will enable Hasçelik to produce its own semi-finished products and introduce scrap preheating technology, thereby reducing energy consumption, enhancing energy efficiency, and focusing on environmentally-friendly steel production and exports.

In parallel, Hasçelik is investing €35 million in a chrome-coated facility in Kocaeli, which is expected to create 200 jobs in its initial phase. With an annual capacity of 20 thousand tons, the facility aims to boost the production of value-added products and is set to be officially commissioned in November of the current year.

Furthermore, the company is allocating €22 million to establish solar power plants with a cumulative capacity of 35 MW across three facilities. This initiative is part of Hasçelik's commitment to reducing energy costs and transitioning to clean, renewable energy sources, with the goal of relying solely on clean energy by 2024.


Faydasıçok highlighted that Hasçelik currently faces challenges due to being a net importer of certain raw materials used in production. To address this issue, the company is embarking on new investments to transition into a net exporter. Some of these projects will be funded through equity capital, while others will involve external financing. Accessing financing has become more challenging in recent years, particularly for companies focused on value-added products, compounded by shorter payment terms.

Addressing issues in the Turkish steel industry, Faydasıçok mentioned that export sales quotas and duties present significant challenges. As a response, Hasçelik has started investing abroad, with projects in the UK, Germany, and Mexico. They have also acquired a new warehouse in the UK and have ambitious plans to commence production overseas in the near future.

Hasçelik currently operates five production plants in Kocaeli and Konya, along with a total of 12 steel service centers, three of which are located abroad. The company's overarching objective is to lead its industry through innovation and contribute to a sustainable economy. Faydasıçok also expressed a desire for Hasçelik to play a role in future space endeavors, emphasizing their aspiration to be part of Turkey's space exploration initiatives.

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