NACE 24 – Manufacture of Basic Metals | Public Tenders

Definition: NACE 24 covers the manufacture of pig iron, steel and non-ferrous metals as well as their initial processing into semi-finished products such as sheets, profiles, pipes and castings. The division forms the basis for downstream metal-processing industries and is an important supplier to public infrastructure projects.

Legal basis: NACE Rev. 2 (Regulation (EC) No 1893/2006) · Last updated: April 2026

What does NACE 24 cover?

NACE 24 (Manufacture of basic metals) classifies companies that smelt and alloy metals from ores or scrap and process them into semi-finished products — one of the most raw-material-intensive areas of European industry.

Division 24 within Section C (Manufacturing) is broken down into the following groups:

Public contracting authorities source products from NACE 24 primarily via downstream processing stages, but also appear as direct buyers of semi-finished products in major infrastructure projects — particularly for rails, structural steel for bridges and castings for sewer infrastructure.

Public tenders: scope of activity NACE 24

Basic metal products from NACE 24 flow into virtually every area of public infrastructure — from railway rails to cast-iron manhole covers.

Typical contract types

• Structural steel for bridges and buildings: rolled sections, hollow sections and beams for steel and composite structures in building and civil engineering
• Rails for railway infrastructure: supply of Vignol rails, grooved rails and switch material for railway and tramway networks
• Aluminium profiles for public buildings: façade profiles, window frames and structural profiles for administrative buildings, schools and hospitals
• Castings for sewer and road infrastructure: manhole covers, gullies, hydrants and pipe fittings made of grey or ductile cast iron
• Steel pipes for supply networks: pressure pipes for water, gas and district-heating networks of municipal utilities

Thresholds and procurement procedures

Supply contracts for metal products frequently exceed the EU supply threshold (EUR 221,000 for classic public contracting authorities, EUR 443,000 for utility contracting authorities, as of 2024/2025) on larger projects. EU-wide tenders are typically conducted in the open procedure or as a framework agreement for recurring demand.

Relevant CPV codes for NACE 24

Current tenders with these CPV codes are published on TED (Tenders Electronic Daily) and on national procurement platforms.

For whom is NACE 24 relevant in procurement law?

Public contracting authorities

Rail infrastructure operators (ÖBB Infrastruktur AG, DB InfraGO AG) are the largest direct buyers of steel products from NACE 24 — particularly rails and switch components. Municipal water and wastewater utilities procure pipes, fittings and castings for sewer and supply networks. Building and civil-engineering departments draw on steel semi-finished products and aluminium profiles for public building and infrastructure projects.

Companies and bidders

Companies in the NACE 24 sector taking part in public procurement must typically demonstrate:

• Technical capability: certifications under EN 10025 (structural steels), EN 1563 (cast iron) or comparable product standards
• Quality management system: ISO 9001 certification as a basic requirement
• Material evidence: CE marking, declarations of performance (DoP) under the Construction Products Regulation
• Environmental certifications: ISO 14001, where applicable EMAS for environmentally sensitive procurement
• Delivery capability: capacity evidence for project-specific volumes and deadlines

Frequently asked questions on NACE 24 and public tenders

Which companies fall under NACE 24?
Steelworks, ironworks, tube mills, non-ferrous metal smelters and foundries whose economic focus is on the manufacture and initial processing of metals. Traders without their own production generally fall under Section G (trade).

Do metal supplies require special consideration in procurement?
Yes — for supplies under NACE 24, product standards and CE marking play a central role. Contracting authorities must draft technical specifications in line with standards and may not specify brands without an "or equivalent" clause (§ 31 VgV / § 96 BVergG 2018).

How is the demand for steel products procured for public construction projects?
Frequently by including the material supply in the construction companies' works contracts (supply as part of the construction lot). For very large volumes — such as rails — procurement takes place directly by the contracting authority as a standalone supply contract.

What role do framework agreements play in metal supplies?
Municipal contracting authorities and utility companies make intensive use of framework agreements to handle recurring demand for pipes, fittings and castings efficiently. Terms of 4 years (classic procurement law) or longer (utilities procurement) are customary.

NACE 24 in context: Section C and related divisions

• NACE C – Manufacturing: parent section with all manufacturing activities
• NACE 25 – Manufacture of fabricated metal products: downstream metal processing excluding machinery
• NACE 28 – Manufacture of machinery and equipment: machinery and plant for all sectors
• NACE 33 – Repair and installation of machinery and equipment: maintenance and servicing

Last updated: April 2026
All information provided without warranty. For legally binding advice, please consult a law firm specialising in public procurement.