ArcelorMittal (Other OTC: AMSYF - news) and other steel firms said Thursday they have laid off 10,000 workers in Mexico and warned that thousands more are at risk if the government fails to curb "unfair imports."
The global steel giant and Mexican firms DeAcero, Altos Hornos de Mexico and Tubacero took out a full-page newspaper advertisement urging President Enrique Pena Nieto to impose temporary tariffs on countries with no trade deals with Mexico.
The companies also asked for new foreign trade measures to make sure the industry is protected.
"The gravity and velocity of the crisis affecting Mexican steel companies require the adoption of short-term actions that halt the current damage and protect the source of employment," the ad says.
The companies said they have already shed 10,000 direct and 40,000 indirect jobs, and that they would have to lay off another 7,000 workers if no action is taken.
On Tuesday, thousands of people protested in the steel town of Monclova, in the northern state of Coahuila, over the layoffs by Altos Hornos de Mexico.
The economy ministry issued a statement this week saying it was analyzing with the industry association, Canacero, the "problem derived from the reduction in world demand, the overcapacity in the market, the drop in oil prices, the devaluation of the (Russian) ruble, and other (issues)."
"We have placed particular attention on the risks represented by imports of Chinese products," the statement said, noting that 15 of 31 existing quotas are for steel from China.
Source: AFP
- metaljunction »
- Metal News
Metal News & Events
METALJUNCTION PUBLICATIONS
Coal Insights (English) Monthly
![Steel Insights](/assets/images/news/coal-insights.jpg)
Coal Insights is a ready reckoner for anyone associated with coal. This publication is aimed at tracking everything related to coal in India.
India Coal Market Watch(English) Monthly
![Steel Insights](/assets/images/news/ICMW_Jan09.gif)
ICMW is a one-stop source for all news, data and research pertaining to coal demand, consumption, stocks, spot- and long-term prices with respect to the Indian Market.
India Steel Market Watch (English) Monthly
![Steel Insights](/assets/images/news/ISMW.gif)
ISMW is a brand new high-end steel market report, covering all aspects of the steel industry in India.
Steel Insights(English) Monthly
![Steel Insights](/assets/images/news/SteelInsights.jpg)
Steel Insights delves into various facets of the domestic and global steel industry such as market fundamentals, raw material price trends, price forecasts etc.