DURBAN - ArcelorMittal is shutting down its Newcastle and Vereeniging Long Steel plants.
This is after failing to find a state-backed rescue solution.
The closure of the steel operation will result in a loss of thousands of jobs.
According to Pietermaritzburg and Midlans Chamber of Business CEO Melanie Veness, this will have a huge negative impact on the workers and communities.
"This is big, from a job perspective but also a sustainability of companies point of view", she said.
eNCA reporter Aviwe Mtila filed this report.