According to CNBC, United States Steel is forced to lay off workers at its Great Lakes, Michigan facility due to falling demand and prices for steel. The company said it would let go less than 200 workers in a Worker Adjustment and Retraining Notification.
U.S. Steel said in June that it would need to temporarily stop production at its plants in Great Lakes and Gary Works. At the Michigan plant specifically, the company said layoffs could last over six months.
These layoffs contradict President Trump’s insistence that his foreign import tax turned a “dead” business into a “thriving” one. Although steel prices in the U.S. did rise immediately following the implementation of Trump’s tariffs, they have since plummeted due to falling demand from car and agricultural machinery sectors.
After peaking in 2018, prices of hot-rolled coil have fallen 37%. Also since March 1, 2018, U.S. Stell’s stock price has dropped 73%.
Although a United Steelworkers union official said that layoffs were planned for the Gary Works facility, a U.S. Steel spokeswoman said the company “currently” does not think there will be “any employment level changes” at the facility.
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