InfoAnda - Steel Workers Appealing To Congress To Force EU-Based Steel Giant To Sell NY Plant Instead Of Leveling It To Stifle Competition

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Home | News Briefs | U.S. | World | Celeb Buzz | Entertainment | Sports | Business | Health | Sci / Tech | Politics | Weird & Offbeat Steel Workers Appealing To Congress To Force EU-Based Steel Giant To Sell NY Plant Instead Of Leveling It To Stifle Competition February 3, 2009 10:01 a.m. EST Linda Young - AHN Editor Lackawanna, NY (AHN) - Members of the United Steel Workers Union are appealing to U.S. lawmakers for help in persuading steel giant ArcelorMittal (MT) to sell its Lackawana plant to a potential buyer. ArcelorMittal announced in December it would shutter the plant in the spring. Union officials say they have a buyer, who wants to remain anonymous, but ArcelorMittal doesn't want to sell. Union officials explained that the company doesn't want any competition. The unnamed buyer has customers lined up and plans to hire 70 workers to start and eventually have 230 employees all paid union wages, according to reports. However, ArcelorMittal, headquartered in Luxumbourg, Belgium, remains firm in its desire not to sell the facility, but to level it instead to eliminate any potential competition, local Union President Tony Fortunato reportedly said. Six Union employees will meet Wednesday with lawmakers in Washington, D.C., like U.S. Senator Charles Schumer (D-NY), and Congressman Chris Lee (R-NY). Congress is coming under pressure from the European Union, of which Belgium is a member state, to remove the buy American clause of the $888 billion stimulus package. The buy American clause applies to steel and iron purchased with taxpayer money to build infrastructure projects aimed at saving and creating U.S. jobs. ArcelorMittal ranks as the only truly global steelmaker, it led consolidation of the world steel industry and now produces 10 percent of the world steel output, with over 326,000 employees in more than 60 countries. It is the leader in all major global markets including automotive, construction, household appliances and packaging. It holds sizeable captive supplies of raw materials and has extensive distribution networks. It has an industrial presence in Europe, Asia, Africa and America giving the company exposure to all key steel markets from emerging to mature, according to a statement on the company Web site. The Lackawanna plant is a steel coating and sheet finishing facility capable of finishing 700,000 tons of steel annually. The facility was founded in 1904 as Lackawanna Iron and Steel Co., purchased in 1922 by Bethlehem Steel Corporation and acquired by Mittal Steel in 2003. Bethlehem Steel was once the second-largest steel producer in the U.S., employing tens of thousands of Americans in high-paying jobs, it was founded in 1857 and was driven out of business by foreign competition in 2004. Lackawanna, population 17,707, is on Lake Erie in western New York just south of Buffalo. Copyright © 2003 - 2009 AHN - All rights reserved.Redistribution, republication. syndication, rewriting or broadcast is prohibited without the prior written consent of AHN.License AHN news for your website, business, digital signage network or publication. Home | News Briefs | U.S. | World | Entertainment | Sports | Business | Health | Sci / Tech | Politics | Weird / Offbeat © 2009 AHN Client Login | Submit News | Privacy Policy | Terms of Use | Contact | Content Services All Rights Reserved

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