Steel Mills
U.S. Steel Adds to Operational Reductions at Great Lakes
Written by Sandy Williams
June 18, 2020
U.S. Steel plans to indefinitely reduce operations of the pickle line, cold mill and finishing division at Great Lakes Works in Ecorse, Mich. The action is separate from the indefinite idling of ironmaking, steelmaking and hot strip rolling mill facilities announced in December 2019.
The company said in a June 8 letter to the Michigan Department of Labor:
“Due to weak business conditions resulting from the worldwide COVID-19 pandemic, the Pickle Line, the Cold Mill, and the Finishing Division have been operating intermittently, causing layoffs and/or reduction in hours of work for some employees in these areas beginning May 3. As previously communicated to employees and union representatives, these employment impacts were expected to be of short durations (i.e., less than six months). However, due to continued weak demand for the products made in these facilities resulting from the ongoing COVID-19 pandemic and new uncertainties about when orders for such products will improve, which was not reasonably foreseeable when the layoffs commenced, it is now anticipated that these employment impacts, and future impacts in these areas, could exceed six months in duration. Additional employment losses associated with the planned action are expected to continue periodically while the underlying business conditions last.”
The decision to further reduce production affects 220 employees in addition to 559 that were issued WARN notices in December.
In an update of its Dec. 19 advisory, U.S. Steel also said the hot strip mill rolling facility at Great Lakes is expected to complete operations and begin its indefinite idling on June 27, 2020.
Sandy Williams
Read more from Sandy WilliamsLatest in Steel Mills
Gerdau reshapes North American footprint as tariffs squeeze long steel imports
Gerdau is repositioning its North American business to capitalize on a sharp shift in steel trade flows driven by elevated tariffs across the US, Canada, and Mexico.
CRU: Interest in AHMSA is growing
Representatives of at least six companies interested in acquiring AHMSA have reportedly begun to carry out physical inspections of the insolvent company’s assets.
USW urges Algoma to diversify product line as $500M lifeline meets wider Q3 losses
The United Steelworkers (USW) is pushing for transparency after Algoma Steel announced earlier this week that it has received CA$500 million in financing from the Canadian government.
Oregon Steel Mills lifts plate prices by $60/ton
Oregon Steel Mills has joined other producers in announcing a price increase of at least $60 per short ton on steel plate.
Algoma speeds up EAF transition, shifts focus to supplying mostly plate to Canadian market
Upended by the Trump regime's tornado of tariffs, Algoma Steel is pivoting on its cross-border business model, shifting its focus to supplying the Canadian market.