Tata Steel shares fall 1% as subsidiaries face 1.4 billion euro in claims over hazardous emissions in Netherlands

Tata Steel share price

• Tata Steel shares drop 1% after Dutch subsidiaries face €1.4 billion claims
• Residents near Dutch plants allege hazardous emissions and seek compensation
• Tata Steel rejects claims as unsubstantiated and prepares to defend in court

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The shares of Tata Steel dropped more than 1 percent on December 26 after the company announced that its Dutch subsidiaries are facing proceedings over alleged damages caused by hazardous emissions in Netherlands.

The shares of the Tata Group-company dropped to Rs 167.82 apiece, emerging as the top losers on the Nifty 50 index.

Tata Steel's Dutch subsidiaries face €1.4 billion in claims:

Residents residing near Tata Steel's plants in Netherlands, as represented by Stichting Frisse Wind (SFW), have alleged that the company is liable for the damages caused by its operations in Velsen-Noord. These damages most importantly include the emissions of hazardous or harmful substances. They seek a compensation of euro 1.4 billion (over Rs 14,810 crore) for the “increased susceptibility to various health issues and the loss of enjoyment of homes, as the average home value in the region demonstrably lags behind that of comparable regions”.

SFW served a writ of summons to the two subsidiaries for proceedings at the District Court North Holland in Haarlem. The proceedings concern a collective action under the Dutch Act on Collective Settlement of Mass Claims (WAMCA).

The company said that SFW has provided no supporting evidence for the claim, making it unsubstantiated and speculative. It rejects the claims being without any basis.

“TSN is fully prepared to defend against the claim. In our assessment, SFW faces considerable challenges regarding both admissibility and the merits of its case. Although, TSN is yet to receive the exhibits on which SFW intends to rely, TSN has already identified substantial grounds for defence,” the company said.

It added that health and clean-living environment remain its key priorities, just like the local residents and stakeholders. “Through substantial investments outlined in Roadmap+, TSN has achieved significant improvements in areas of concern for the neighbouring community over the past five years. Additionally, TSN consistently ranks among the leading global blast furnace-based steel producers in terms of CO2 efficiency, with performance metrics well below both European and global averages,” it further said.

Tata Steel share price:

Tata Steel shares have gained around 5 percent in the past six months, and around 23 percent in 2025 so far. The stock jumped over 170 percent in the past five years.

Its P/E ratio currently stands at around 52.

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