The impending threat of the Second World War massively increased the steel production all over the Europe.
This also led to the construction of the very first metallurgical plant in the territory of nowadays Croatia - right on the south-eastern outskirts of Sisak.

The works were named "Talionica Caprag" (Metal Foundry Caprag) and the first blast furnace with a volume of 150m3 was built here according to the design of Ing. Milivoj Tomac in 1938.

Steel production has started in 1954 with two open-hearth furnaces and one electric arc furnace. Coke was supplied by the Bakar coking plant (shutdown in 1995).

During the Croatian War of Independence between 1991-1995, production drastically declined and most of the technologies (blast furnaces, agglomeration, siemens-martin furnaces, strip and billet mill) were dismantled and the former plant was split into 17 smaller companies.

After the bankruptcy of the steelworks in 2001, both privatisation attempts failed. First by Truboimpeks, then by the russian-based Mechel.

In 2007 the steelworks were bought by the american Commercial Metals Company (CMC) and subsequently sold to the Italian company Acciaierie Bertoli Safau in 2012.

Steel production was fully restored in 2017.
The 78t electric arc furnace is connected to DANIELI´s innovative Q-One electricity power reduction system. This is the first application of its kind in the world.