Two Local Steel Plants to Restart this Year

Reported by: Darcie Loreno - Web Producer
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Updated: 1/13/2010 9:15 am
Severstal Warren and its neighbor across the street, ArcelorMittal Warren, may be showing signs of life after being idled for nearly a year.

Tony Montana, United Steel Workers of America representative, confirmed Tuesday both plants will be reopening sometime in 2010. He and other officials would not confirm specific restart dates or employee recall numbers.

And while Severstal crane operator, Michael Riynock, 33, said Tuesday he hadn't yet heard the news or when and if workers would be recalled, he's remained hopeful since being laid off in December 2008.

"We're optimistic," said Riynock. "We're hoping to go back to work. I don't know when ... or the time frame."

The United Steelworkers Association International in Cleveland said that both plants are in the process of calling back workers for limited operations. And State Rep. Tom Letson, D-Warren, said he spoke Tuesday morning with United Steelworkers Local 1375 officials, who confirmed they are working on a new labor contract to get Severstal up and running.

Severstal, which makes integrated flat rolled steel, is looking at a restart in early March or possibly April. Some maintenance workers are due back Feb. 28, according to a union spokesperson.

Sources said a small wave of workers have already been called back this week to prepare the Severstal blast furnace. Riynock said he had heard those rumors.

The Severstal plant was purchased from WCI in 2008 by the Russian steelmaker but was shut down last year when the U.S. economy collapsed and the steel industry, as a whole, entered a major slowdown. More than 1,000 workers were laid off.

Riynock said the average age of a Severstal worker was 54 or 55, and many had 30 or more years of experience.

Riynock had worked at Severstal for 14 years. He said workers have always believed they would be called back.

"This whole industry goes up and down," said Riynock. "I think our plant's always made money. They'd be fools not to."

Coke manufacturer, ArcelorMittal, is also calling back workers as early as next week, according to the USWA. That plant employs about 180.

The news comes less than one month after a U.S. International Trade Commission ruling that said there was a need to impose higher tariffs on Chinese-made steel pipe.

"I think the talk of these steel mills reopening reflects the gradual growth in steel demand that's occurring," said Nancy Gravatt, of the American Iron and Steel Institute. "This is very favorable for our industry, because we feel that if companies and nations play by the rules, our American steel industry can compete with any steel industry worldwide."

Severstal and ArcelorMittal officials, Tuesday, did not return calls or e-mails regarding restart confirmation at their plants.
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FrankBlunt - 1/13/2010 4:19 PM
0 Votes
I have seen steel made abroad and steel made here in Warren, If I was to buy anything, I would want it to be made from steel produced at this factory. Having dealt 1st hand with the lazy Union workers who waste and steal company time, It's no wonder they went out when they did. Hope the new union contract allows them to turn a better profit where they can stay in business and not be forced to pay people for being lazy, hiding, drinking on the job, taking a break 30 min early and come back 20 min late, and quit 45 minutes to an hour before the end of shift to take a shower. If you all get back to work, be happy and think about what laziness brought you before. You made some outstanding steel, but you could have made twice as much in half the time! THAT'S how you keep imported steel out of our valley!

Hardstltruth - 1/12/2010 9:45 PM
0 Votes
It's funny that this rumor that has been circulating for a few weeks is just now being reported, when only today we heard that the start of the blast furnance at Severstal was going to be delayed. That would mean everything would still be idled and workers will still laid off. This is merely another rumor, but if you are going to report rumors then you should at least report the most accurate! I know that we are all trying to be optimistic, but it's not fair that you are giving people hope like this. When you see the white smoke, then you can report that it has started, until then, it's all rumors!
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