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Stelco's U.S. Owner Defends Right to Idle Operations at Hamilton Steel Plant as PM Vows Legal Action
The Ohio-based owner is idling Stelco's cold-rolled and galvanized operations and says 350 to 500 jobs are at risk, officials said.
On Monday, Cleveland-Cliffs announced plans to indefinitely idle operations at its Hamilton plant, putting up to 500 jobs at risk.
Cleveland-Cliffs CEO Lourenco Goncalves linked the cuts to the trade war, stating he would not have acquired Stelco if Canada and the United States would become 'enemies in trade.'
Prime Minister Mark Carney vowed to 'use all powers that we have' against the company, while Goncalves insisted on Thursday he is acting as a 'responsible business owner' within his legal rights.
Under terms approved during the 2024 sale, Stelco must continue to employ at least the same number of unionized employees as were employed when the transaction was announced.
Pressed on the layoffs, Goncalves said there were 'no orders' at a price level that makes business sense, noting the market cannot accommodate domestic producers alongside imported steel.