CHICAGO Mittal Steel USA said Thursday it is idling two blast furnaces indefinitely to bring production capabilities in line with reduced demand for light flat-rolled products.
The company, a unit of Mittal Steel Co. NV, which is in the process of buying Arcelor SA for about $32 billion (€25.2 billion), is idling one blast furnace each in Cleveland and its Indiana Harbor facility in East Chicago, Indiana.
No employees will be laid off. Mittal Steel USA said the furnaces will undergo maintenance and be reactivated when market conditions warrant increased production levels.
The danger with this type of policy in an international market, is the readiness of exporters from around the world, stepping in to fill any gaps. It is difficult to argue against imports if there is a shortfall of production within the domestic market.