Voestalpine says CEO Eder to stay on as Worldsteel chairman
VIENNA Oct 12 (Reuters) - The chief executive of Austrian steelmaker Voestalpine will serve a second one-year term as chairman of the World Steel Association trade group, after his anointed successor pulled out to focus on running his business, Voestalpine said on Monday.
Wolfgang Eder, a critic of European Union climate change policies, will become the first sitting chairman of the group, also known as Worldsteel, to be reappointed, his company said in a statement.
Andre Gerdau Johannpeter, chief executive of Brazilian steelmaking group Gerdau SA and a vice chairman of Worldsteel, chose not to take over the top job, as had been expected, to concentrate on the challenges of the Brazilian market, Voestalpine said.
Tens of thousands of Brazilians have lost their jobs since late 2014 due to the weak economy and Gerdau, Latin America's biggest steelmaker, has announced layoffs.
In August, the company posted a sharp drop in second-quarter net profit as sales fell in both its domestic and North American divisions and it said it was considering asset sales.
Eder's re-appointment was expected to be approved on Tuesday at a board meeting of Worldsteel, which is holding its annual conference in Chicago, the statement said. (Reporting by Francois Murphy and Alexandra Schwarz-Goerlich; editing by Adrian Croft)
© Thomson Reuters 2016 All rights reserved.