U.S. Steel Corp. said it plans to idle plants in Illinois and Indiana, laying off 545 workers.
The company blamed the latest move on low-cost imports and its own restructuring efforts.
The cuts would take place in March and come on top of the planned layoff of 756 workers and possible closure of two plants in Ohio and Texas announced earlier this month. The company said those cuts had reflected lower oil prices and the resulting drop in demand for its steel pipe and tubular products used by the oil and gas sector.
U.S. Steel said it would close the two coke ovens at its Granite City Works in Granite City, Illinois, affecting 176 workers. Another 369 workers will be laid off as a result of U.S. Steel’s plan to close, temporarily, a tin mill which is part of its Gary Works facility in Indiana, near Chicago.
On Wednesday, January 21, Chinese slab fell by 3.1% to CNY 2,480 ($399.07) per metric ton, making it the day’s biggest mover. Chinese HRC saw little change in its price on Wednesday at CNY 2,800 ($450.56) per metric ton. The price of Chinese coking coal held steady at CNY 1,080 ($173.79) per metric ton. The price of iron ore 58% fines from India hit a high price of CNY 840.00 ($135.17) and a low price of CNY 840.00 ($135.17) per dry metric ton.
The cash price of steel billet continues hovering around $500.00 per metric ton on the LME for the fifth day in a row. The steel billet 3-month price saw little movement on the LME at $480.00 per metric ton.
The 3-month price of the US HRC futures contract fell to a 30-day low at $575.00 per short ton after shifting 0.9%. The spot price of the US HRC futures contract fell 0.8% on Wednesday to $585.00 per short ton.