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

Mamma Mia! Here we go Ladysmith

Ladysmith secondary’s drama program staging light-hearted romp featuring the music of Abba

Ladysmith offers absolutely the best running High (Street) available

Annual Ladysmith Hill Dash is open to runners who enjoy going uphill fast

It’s here: tackling opioid addiction in Ladysmith

Nine overdose deaths in two years “pretty alarming considering this is a small town”

Howe Sound Queen sailing toward retirement

Vessel now up for auction ends regular runs between Crofton and Vesuvius at the beginning of June

Spending support helps keep Chemainus Rotary auction going strong

Event a labour of love for club members to generate funds for the community

Parliament Hill 4-20 organizers predict record crowd after legalization

A celebration? Yes, but organizers say concerns remain about the government’s decisions on legalization rollout

$6K raised in one day’s time for family of woman gunned down in Penticton

GoFundMe launched for family of Darlene Knippelberg, to pay for funeral costs and other expenses

Seven tips to travel safely this Easter long weekend

An average of three people are killed, and hundreds more injured, each Easter long weekend in B.C.

Parents say Austrian climber missing in Banff National Park ‘lived his dream’

David Lama, Hansjorg Auer and American climber Jess Roskelley have been missing since Wednesday

Six months after legalization, high prices and supply issues boost illicit pot market

It has been six months since Canada became the first industrialized country to legalize recreational cannabis

Seattle’s 4-20 ‘protestival’ enjoys tolerance, some support – and B.C. could do the same

Seattle’s Hempfest a large-scale occasions with vendors, prominent musical acts and thousands of attendees

B.C. mountain biker sent home from hospital twice, despite broken vertebrae

Released in Maple Ridge to go home with three fractured vertebrae

Deck collapses in Langley during celebration, multiple people injured

Emergency responders rushed to the Langley home

Chaos at the ferry terminal for people heading from Vancouver to the Island

Easter crowds create backlog at Tsawwassen ferry terminal

Most Read