Archive | Steel and Stainless Steel Industries

Canada collects $839M in steel and aluminum tariffs, but aid for sector mostly unspent – by Janyce McGregor (CBC Politics – January 27, 2019)

https://www.cbc.ca/

Federal support from $2-billion aid package slow to pay out

Foreign Affairs Minister Chrystia Freeland told an interviewer in Davos this week that once the U.S. drops its steel and aluminum tariffs, Canada will too, “30 seconds later.”

Until that day comes, the extra taxation is pretty lucrative for the federal government. Finance Canada says $839 million was collected in the six months leading up to Dec. 31 from retaliatory tariffs on imported American steel, aluminum and other products.

Canada didn’t start this tariff spat, and from the prime minister on down every Canadian official says he or she wishes it would end. The tariffs on both sides of the border have disrupted supply chains and added extra costs for consumers and businesses across a wide range of industries. Continue Reading →

Feds plan $90M in support for Sault, Algoma Steel – by Andy Blatchford (Sudbury Star – January 10, 2019)

https://www.thesudburystar.com/

Canadian Press – OTTAWA — The federal government is to announce up to $90 million in support for Ontario’s Algoma Steel on Thursday in a commitment aimed at helping the producer deal with the American tariffs on steel and aluminum, The Canadian Press has learned.

Economic Development Minister Navdeep Bains will make the announcement at Algoma’s plant in Sault Ste. Marie. He’ll be joined by Ontario Northern Development Minister Greg Rickford, who’s expected to announce a separate provincial investment in the company.

The government support comes as Canadian steel and aluminum producers continue to face punishing levies imposed last June by U.S. President Donald Trump. Continue Reading →

RPT-COLUMN-China steel prices tick up on winter curbs, stimulus hopes: – by Clyde Russell (Reuters U.S. – December 17, 2018)

https://www.reuters.com/

LAUNCESTON, Australia, Dec 17 (Reuters) – China’s steel and iron ore prices have started to climb in response to winter production curbs, but recent gains are far from suggestive of a rosy outlook for the sector.

The catalyst for the rebound in prices would appear to be signs that the authorities in steel-making centres are starting to clamp down harder on air pollution, after earlier indications that this winter’s output curbs wouldn’t be as severe as those for the previous cold season.

Benchmark steel rebar in Shanghai closed on Dec. 14 at 3,427 yuan ($497) a tonne, up 3.7 percent from the close of Dec. 11, and 7.4 percent higher than a recent closing low of 3,192 yuan on Nov. 26. Continue Reading →

Trump Reviewing Tariffs on Canada Steel and Aluminum, Craft Says – by Josh Wingrove and Bryce Baschuk (Bloomberg/Yahoo Finance – October 26, 2018)

https://finance.yahoo.com/

(Bloomberg) — The U.S., Canada and Mexico remain at odds over metals tariffs, with Donald Trump’s envoy to Canada saying the president is reviewing them.

Trump’s ambassador, Kelly Craft, argued Friday the levies on steel and aluminum imports were designed to prevent overseas metal from entering America via its neighbors.

“That is not something that is against Canada,” Craft said at an event near Niagara Falls with Canada’s ambassador to the U.S., David MacNaughton. “It’s just protecting North America from other countries that will be passing raw materials through, and also to protect our steel industry at home.” Continue Reading →

Tariffs eroding profits and driving up costs, metal manufacturers tell lawmakers – by Eric Atkins (Globe and Mail – October 23, 2018)

https://www.theglobeandmail.com/

Metal manufacturers and fabricators aired their complaints about trade barriers in Ottawa on Tuesday, telling members of Parliament that U.S. tariffs on steel and aluminum coupled with Canada’s countermeasures are eroding profits and driving up costs. This is giving foreign rivals an edge, the business people said, appearing before the standing committee on international trade.

Chris Wharin of Bohne Spring Industries Ltd., a Toronto-based maker of springs, wire and metal work for automotive and other uses, said that to keep its customers, the company cannot pass on some of the higher import and manufacturing costs incurred since Canada placed retaliatory tariffs of 10 per cent and 25 per cent on metal products from the United States.

“This is having a crippling effect on our cash flow and profits,” he said, adding the company relies on U.S. suppliers for much its steel and is unable to find domestic replacements. Continue Reading →

Canada, U.S. in talks to end steel, aluminum tariffs – by Adrian Morrow and Eric Atkins (Globe and Mail – October 19, 2018)

https://www.theglobeandmail.com/

Canada and the United States are trying to negotiate an end to U.S. President Donald Trump’s tariffs on steel and aluminum, with the goal of reaching a deal before the formal signing of the proposed United States-Mexico-Canada Agreement at the end of November.

Talks have focused on Canada agreeing to a quota on exports of those metals to the United States in exchange for the Trump administration lifting the tariffs, people in both countries with knowledge of the talks said. The Globe and Mail granted anonymity to five sources because they were not authorized to speak publicly on the matter.

Foreign Minister Chrystia Freeland and U.S. Trade Representative Robert Lighthizer discussed the matter last week at Ms. Freeland’s Toronto home, a Canadian government source said, and agreed they had to reach a resolution. Continue Reading →

Steel tariffs remain in force as Trump credits them with clinching USMCA deal – by Naomi Powell (Financial Post – October 2, 2018)

https://business.financialpost.com/

Canadian industry leaders insist they be lifted as a condition of a final deal

U.S. President Donald Trump’s tariffs on steel and aluminum will remain in force despite a new trade pact with Canada and Mexico — even as Canadian industry leaders insist they be lifted as a condition of a final deal.

Trump, who previously tied the tariffs to the successful renegotiation of the North American Free Trade Agreement, praised the levies for bringing about the revamped trilateral pact, secured following marathon talks this weekend.

“Without tariffs, we wouldn’t be talking about a deal — just for those babies out there that talk about tariffs,” Trump said Monday in a White House announcement of the deal, which is being called the U.S.-Mexico-Canada Agreement (USMCA). Continue Reading →

Ford CEO says Trump’s metal tariffs cost auto maker $1-billion – by Nick Carey and David Shepardson (Globe and Mail/Reuters – September 27, 2018)

https://www.theglobeandmail.com/

Steel and aluminum tariffs imposed by the Trump administration have cost Ford Motor Co about $1-billion in profits, its chief executive officer said on Wednesday, while Honda Motor Co said higher steel prices have brought “hundreds of millions of dollars” in new costs.

“From Ford’s perspective the metals tariffs took about $1-billion in profit from us,” CEO James Hackett said at a Bloomberg conference in New York, “The irony of which is we source most of that in the U.S. today anyway. If it goes on any longer, it will do more damage.”

Hackett did not specify what period the $1-billion covered, but a spokesman said the automaker’s CEO was referring to internal forecasts at Ford for higher tariff-related costs in 2018 and 2019. Continue Reading →

NEWS RELEASE: NAFTA Deal a Sell-Out for Canadian Steel, Aluminum Workers

TORONTO, Oct. 1, 2018 /CNW/ – Tens of thousands of Canadian families have been left in the lurch from concessions made by the Liberal government to get a deal with the Unites States on a renegotiated North American Free Trade Agreement.

“Time and time again during the NAFTA renegotiations, the Liberal government assured Canadians that it was defending our steel and aluminum sectors and the livelihoods of tens of thousands of Canadian families,” said Ken Neumann, United Steelworkers (USW) Canadian Director.

“Given the Liberal government’s rhetoric throughout the process, it was inconceivable that it would agree to any deal that harms Canada’s steel and aluminum sectors,” Neumann said. Continue Reading →

Commentary: Nickel is dancing to a new electric (vehicle) beat – by Andy Home (Reuters U.K. – August 15, 2018)

https://uk.reuters.com/

LONDON (Reuters) – The world used almost 2.2 million tonnes of nickel last year. Around two thirds of that metal was absorbed by the stainless steel industry, which uses it as a key alloying agent.

Stainless steel production has been booming. Global output rose by 5.8 percent last year and accelerated by another 9.5 percent in the first quarter of 2018, according to the International Stainless Steel Forum.

This has been good news for nickel. The International Nickel Study Group (INSG) estimates that global first-use nickel usage jumped by 7.8 percent last year and by another 9.7 percent in the first five months of this year. Continue Reading →

Canada eyes unprecedented safeguard tariffs on steel imports – by Naomi Powell (Financial Post – August 15, 2018)

https://business.financialpost.com/

HAMILTON — Finance Minister Bill Morneau is launching formal consultations on whether to impose unprecedented trade measures to block a surge of steel imports diverted into Canada because of U.S. tariffs.

Morneau, who said an import surge has already been detected, announced Tuesday a 15-day consultation period during which he will evaluate possible safeguards on seven steel products, including plate, concrete reinforcing bar used in construction, hot-rolled sheet, wire rod and tubes for the energy industry.

If the consultations provide evidence of harm or threat of harm to producers, the federal government will impose immediate provisional safeguards to shield the industry while the issue is referred to the Canadian International Trade Tribunal (CITT) for inquiry. Continue Reading →

The One Market That’s Sure To Help Coal – by Jude Clemente (Forbes Magazine – August 12, 2018)

https://www.forbes.com/

“Urbanization helps pull people out of poverty and advances progress towards the Millennium Development Goals,” The World Bank

As still the world’s leading source of electricity (most critically, overwhelmingly so in all-important China and India) at 37-40% of all supply, and still generating 30% of U.S. power, coal is obviously not dead.

But beyond electricity, coal is much more essential to another market than the anti-coal business may realize: the very steel that builds our cities. Apparently, unbeknownst to many, the fact that 70-80 million people move to the world’s cities each year means that coal’s fundamental role in the energy demand system is quite secure.

It’s no wonder then that global steel demand continues to surge to record highs and expected to increase 20% by 2030. Steel is an indispensable material for modern life. It is utilized in literally every important industry. Continue Reading →

Ford Calls Rising Steel, Aluminum Prices ‘Significant Headwind’ – by Keith Naughton (Bloomberg News – August 8, 2018)

https://www.bloomberg.com/

Rising steel and aluminum prices, driven up by President Donald Trump’s tariffs on those commodities, are a substantial drag on Ford Motor Co.’s business, though a top executive said the company doesn’t plan to pass higher costs on to consumers.

“The escalation of steel and aluminum prices is really significant,” Jim Farley, Ford’s president of global markets, said after a factory ceremony near Detroit to commemorate building the 10 millionth Mustang muscle car. “It’s a significant headwind for us. It’s something that puts pressure on our own costs.”

Ford began the year by warning that rising costs for raw materials like steel and aluminum, coupled with unfavorable exchange rates, would add $1.6 billion to its costs this year. Continue Reading →

Canada Eyes New Quotas, Tariffs to Halt Flood of Diverted Steel – by Josh Wingrove (Bloomberg News – July 16, 2018)

https://www.bloomberg.com/

Canada is considering both quotas and tariffs to stop a spike in imports of foreign steel being diverted from the U.S. by Donald Trump’s trade policies, the industry minister said.

Navdeep Bains, speaking by phone from the Farnborough International Airshow, said Justin Trudeau’s government is weighing so-called safeguard measures to curb the influx of cheap foreign steel and could expand the list of products as needed. It previously identified three — energy tubular, steel plates and rebar — but the minister said that was only a first step.

“We did that based on the data and the information that we have” Bains said Monday. “That by no means is the final list so we’ll look at what option, either tariff or quotas, that we need.” Continue Reading →

Tata Steel and Thyssenkrupp merger welcomed by unions (BBC News – June 30, 2018)

https://www.bbc.com/

Unions have welcomed a merger between Tata Steel and Thyssenkrupp which will create Europe’s second-biggest steelmaker. The deal will mean Indian-owned Tata’s UK plants are merged into a pan-European venture, which includes the UK’s biggest steelworks at Port Talbot.

Tata said its “ambition” was to not have any compulsory redundancies in the UK as part of the joint venture. The steelworkers’ union said the deal may secure jobs and lead to investment.

Community general secretary Roy Rickhuss said it had “the potential to safeguard jobs and steel-making for a generation”. But he also warned the venture would only succeed if there was strategic investment to make sure the business thrived. Continue Reading →