L’ORIGNAL, Ontario, April 04, 2019 (GLOBE NEWSWIRE) -- On April 3rd 2019, the Canadian International Trade Tribunal made recommendations to the government regarding safeguards on 7 steel products. Ivaco Rolling Mills is concerned that the CITT did not include the extension of safeguards for wire rod products in its recommendations.
Canada is one of the world's most exposed markets for steel and the lack of resolution to the U.S. Section 232 trade action continues to hamper exports and increase the flow of diverted steel into Canada, causing significant harm to the industry.
The period of investigation mandated by the CITT showed a steady increase in imports and since then, imports have continued to surge. Low-priced imports of steel wire rod from many countries continue to be diverted to Canada, causing significant harm to the domestic industry.
The European Union and a number of other jurisdictions have recently implemented safeguards on steel products following restrictions to the US market caused by the section 232 tariffs. Without safeguards Canada will stand alone, and the domestic steel industry will be heavily exposed to large volumes of low-priced imports being diverted into the country. This places Canadian producers at a significant competitive disadvantage and thousands of jobs at risk.
Ivaco Rolling Mills has recently been forced to reduce production levels due to adverse market conditions and announced earlier in the week its intention to reduce its workforce in L’Orignal by 50 full-time employees. Without the extension of a safeguard measure on wire rod, market conditions for producers in Canada will deteriorate further.
Ivaco Rolling Mills is asking the Minister of Finance to implement safeguard measures on wire rod products to stabilize the market and prevent any further harm to steel producers, their employees and the communities in which they operate.
Ivaco Rolling Mills and its affiliates will continue to proudly serve the North American market by selling quality wire rod and downstream products made with pride by the 1500 employees in the communities of L'Orignal and Ingersoll, Ontario and Marieville and Beloeil, Quebec.
About Ivaco
Ivaco Rolling Mills is a reputable wire rod supplier for the automotive, energy, agriculture, construction and telecommunication industries. Its facility, based in the counties of Prescott and Russell, ON produces high quality steel billets and wire rod in a safe, environmentally friendly, and energy efficient manner.
Contact
Francis Miner
Manager, Trade, Ivaco
613-675-6626 (L'Orignal)
fminer@ivacorm.com