Stelco pushes PM for help in dealing with ‘changing landscape’ for steel

Stelco reported surge in revenues in the final quarter of last year, despite 25% tariffs

Prime Minister Justin Trudeau meets with Executive Chairman of Stelco Inc. Alan Kestenbaum in his office on Parliament Hill in Ottawa on Thursday, April 11, 2019. THE CANADIAN PRESS/Sean Kilpatrick

Canadian steel producer Stelco is looking for more support from the federal government as the country’s steel and aluminum producers grapple with punishing U.S. tariffs imposed on exports of their products south of the border.

Stelco Holdings Inc., president and executive chairman Alan Kestenbaum met with Justin Trudeau in Ottawa Thursday.

While he thanked the prime minister for the government’s support of the metals industry since the imposition of American tariffs last year, Kestenbaum said steel producers are now facing new pressures.

Stelco reported a surge in income and revenues in the final quarter of last year, despite the 25 per cent tariffs on steel imported from Canada that the Trump administration imposed last June.

The company reported net income of $108 million on revenue of $648 million in the three months ending Dec. 31, compared with $16 million of income and revenues of $452 million during the same period in 2017.

READ MORE: U.S. tariffs on steel, aluminum could be gone in weeks, ambassador says

But the Canadian International Trade Tribunal (CITT) issued a report last week that could see Canadian import restrictions lifted on some steel products.

The provisional safeguards announced in October, designed to shield domestic producers from a flood of imports into Canada resulting from the U.S. tariffs, were considered by the World Trade Organization as emergency measures and are set to expire in about a month’s time.

Finance Minister Bill Morneau issued emergency import restrictions on seven products, arguing that they posed a serious threat to Canada’s steel industry.

The CITT report, issued April 3, ruled the safeguards were warranted on just two of the seven products.

The report is not binding on Morneau, who can choose to ignore some or all of the findings and make the safeguards permanent.

“The measures that were put in place, the actions that were put in place, have enabled Stelco and other steel producers to really be able to operate well in this very, very difficult environment,” Kestenbaum said as he sat with Trudeau in the prime minister’s West Block office.

“Today we’re here to talk about a changing landscape.”

Kestenbaum suggested he was looking to Trudeau for help in preserving jobs in Canada’s steel industry.

The prime minister told Kestenbaum his government is focused on supporting the steel industry and its workers as they continue to face what Trudeau described as “punitive” and “illegitimate” tariffs.

Trudeau said officials from his government have been meeting “almost daily” with U.S. officials in attempts to have the duties lifted.

In the meantime, the government is having discussions on how to support the metal industries, he said.

The Canadian Press

Like us on Facebook and follow us on Twitter

Just Posted

Fire ban back in effect for Northwest Fire Centre region

Starting May 24, both Category 2 and Category 3 prohibitions will be in place

This summer Masset RCMP will give positive tickets to youths

More than a dozen community partners are involved in encouraging good behaviour once school is out

New Seven Sisters replacement confirmed

Mental health facility will have 25 beds, up from 20 in current facility

Terrace hospital’s business plan approved

Health Minister’s announcement opens door to construction phase

Convicted animal abuser to return to B.C. court May 21

Catherine Jessica Adams is facing a breach of probation charge

600 new campsites coming to provincial parks and recreation sites across B.C.

Tourism Minister announced half of the new spots to 13 most popular provincial parks

Raptors beat Bucks 105-99 to move within 1 game of NBA Finals

Leonard scores 35 as Toronto takes 3-2 series lead over Milwaukee

Municipalities protest after B.C. declares marijuana crops ‘farm use’

UBCM president seeks answers in letter to John Horgan government

CMHC defends mortgage stress test changes amid calls for loosening rules

Uninsured borrowers must now show they could service their mortgage if rates rose two per cent

Nisga’a Nation tourism industry hits the road

First pilot tour to the Nass Valley is set for this summer with Indigenous Tourism BC

B.C. woman left ‘black and blue’ after being pushed off 40-foot cliff at lake

West Shore RCMP looking for witnesses as investigation continues

Thunderstorms to bring heavy rain, risk of flash floods in the southern Interior

Ten to 30 millimetres of rain to fall over the early weekend

Unbe-leaf-able: Agassiz man finds more than 200 four-leaf clovers in a month

Walt Hardinge has found more than 219 four-or-more leaf clovers this spring alone

Crews fight fire with fire to keep blaze from northern Alberta town

The wildfire now covers some 920 square kilometres

Most Read