Steel Mills

ArcelorMittal to Idle Plate Rolling Mill

September 28, 2017

ArcelorMittal USA will idle its rolling mill in Conshohocken, Pa., within the next year and consolidate its plate operations. Production from the mill will be transferred to the Coatesville and Burns Harbor facilities. The heat treat and inspection operation will continue at Conshohocken using steel rolled by the sister facilities.

The decision to idle the mill was based on declining demand from manufacturers that build bridges, ships, tank cars and military equipment, said ArcelorMittal spokeswoman Mary Beth Holdford, as well as competition from “an ongoing surge of unfairly traded imports of steel.”

Additional investments will be made at the Coatesville and Burns Harbor mills to accommodate the increased production.

Idling the rolling line will impact 150 jobs at Conshohocken over a period of months.

The United Steelworkers union has blamed the closing on inaction by the Trump administration in the Section 232 investigation on the national security impact of steel imports.

“The idling of this steel facility and layoff of more than 200 highly skilled steel workers is another direct blow to our national security,” said USW International President Leo W. Gerard. “Our soldiers deployed in harm’s way depend on products made in this facility in building Mine-Resistant Ambush-Protected (MRAP) vehicles, Bradley land systems and all Navy Seapower systems. This steel closure is on the administration’s watch. At what point will they conclude their investigation and act?”

Since the initiation of the investigation, steel imports have surged almost 21 percent, said the USW.

“Originally we were told the steel investigation would be done by June,” said USW International Vice President Thomas M. Conway. “Now, press reports indicate the work is essentially done, but the White House wants to wait until Congress finishes tax reform.”

Conway added, “The administration’s refusal to act is just another sign that the Washington swamp has not been drained; it is business as usual. The White House needs to get its priorities straight.”

ArcelorMittal USA was asked to comment on whether Section 232 played a part in the closing.

“The decision is classified as an idling, meaning we are ceasing operations of the rolling mill for an indefinite period of time while preserving the operational integrity of the line in case the market requires a restart,” said Holdford. “A restart is not predicated on a Section 232 action. There are a number of factors at play including overcapacity, limited demand from customers and imports.”