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Kardemir is 88 years old: A milestone in Türkiye's industrialization journey

Founded on April 3, 1937 as Türkiye's first heavy industry factory, Kardemir played an important role in the industrialization process of both Karabük and Türkiye.

Kardemir is 88 years old: A milestone in Türkiye's industrialization journey

Karabük Demir ve Çelik Fabrikaları (Kardemir), one of the most important milestones in Türkiye's industrialization process, is celebrating its 88th anniversary. Founded on April 3, 1937 by then Prime Minister İsmet İnönü and started production in 1939, Kardemir played a critical role in the country's industrial and development drive as Türkiye's first integrated iron and steel factory.

Today, Kardemir holds a strategic position not only in Türkiye's steel production, but also in the railroad industry. As Türkiye's sole producer of railway rails and wheels, Kardemir has undergone major transformations from the past to the present, strengthening its position in global competition. So, how did Kardemir's 88-year adventure begin and where has it reached today?

The Republic's industrial drive: The foundation of Kardemir

The 1930s was a period of accelerated economic development and industrialization for Türkiye. In the early years of the Republic, the agriculture-based economic structure inherited from the Ottoman Empire made the need for industrialization even more evident. The iron and steel industry in particular was critical for a country's independent industrial production.

In this context, the First Five-Year Industrial Plan of 1934 identified the establishment of iron and steel factories as a strategic goal. However, the biggest question regarding this process was where the factory would be built. As a result of various feasibility studies, Karabük was chosen as the site for Türkiye's first iron and steel factory due to its railroad connection, proximity to water resources and geographical advantages.

Founded on April 3, 1937 in Karabük, Karabük Demir ve Çelik Fabrikaları went down in history as Türkiye's first major investment in heavy industry. The groundbreaking ceremony, attended by then Prime Minister İsmet İnönü, symbolized the beginning of an industrial revolution for Türkiye. On September 6, 1939, the factory ignited its first blast furnace and began production.

Kardemir and Karabük: the factory that gave life to a city

With the establishment of Kardemir, Karabük developed rapidly as an industrial city. Karabük, which was a small village before the construction of the factory, grew in a short time by receiving labor migration and became Türkiye's first planned industrial city.

With the start of production of Kardemir:

  • The first domestic steel production was realized for the railway and construction sectors.
  • With the increase in production capacity, a large part of Türkiye's steel needs began to be met with domestic resources.
  • Investments in education, health and social infrastructure accelerated in Karabük.

Kardemir was not only an industrial enterprise, it became Karabük's very reason for existence. Housing was built for the factory workers and their families, hospitals were opened and Karabük became one of the first cities in Türkiye to grow with industry.

The privatization process: Kardemir's turning point

Kardemir was affected by the global steel crisis starting in the 1980s. By the 1990s, the factory began to experience serious financial difficulties. In 1994, the state included Kardemir in the scope of privatization and the closure of the factory was on the agenda.

However, this decision was met with great resistance by the people of Karabük and Kardemir employees. The closure of the factory would mean the complete destruction of the city. Upon this, the people of Karabük put up a great struggle with the slogans “Kardemir is Ours, It Will Remain Ours”.

As a result of this resistance, Kardemir was privatized in 1995 as Türkiye's first employee-owned and publicly owned company. Today, the biggest shareholders of the company are the people of Karabük and Kardemir employees.

Kardemir today Türkiye's strategic industrial power

Kardemir currently has a production capacity of 3.5 million tons of liquid steel and stands out especially with its investments in value-added products. The main fields of activity of the company are as follows:

1) Production of railway rails and wheels

  • Kardemir, Türkiye's only railroad rail producer, supplies rails to many countries, especially TCDD.
  • Established in 2018, the railway wheel production facility has reduced Türkiye's dependence on foreign imports, providing the country with a major economic advantage.

2) Special steel production for heavy industry

  • Strategic steel production is made for the defense, automotive and machinery industries.

3) Environmentally friendly production and green transformation

  • In recent years, Kardemir has been investing in sustainability projects such as reducing carbon emissions and green steel production.

88 years of pride and vision for the future

With its 88-year history, Kardemir continues to play a vital role in Türkiye's industrialization process. Future plans include capacity increase, digital transformation, sustainable steel production and expansion into new export markets.

One of the cornerstones of Türkiye's industrial revolution, Kardemir not only produced steel, but also built a city, an industrial culture and Türkiye's development journey.

As we celebrate Kardemir's 88th anniversary, we wish Kardemir to add value to our country for many more years as one of Türkiye's leading companies in heavy industry.

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