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AK Steel to idle Dearborn Works

  • Market: Coking coal, Metals
  • 27/03/20

Steelmaker AK Steel will shut down its Dearborn Works in Detroit as steel mills that supply the automotive market are hammered by sudden coronavirus outbreak-related shutdowns.

The 2.2mn short ton (st)/yr blast furnace will stop running beginning next week for an undetermined length of time, according to a letter from the mill's local union president posted online.

The mill makes flat rolled products for the US automotive industry and was recently acquired by Cleveland-Cliffs in its purchase of integrated steelmaker AK Steel.

All automakers in the US have announced some level of closures in the last week.

The earliest possible restart for automakers are by Fiat-Chrysler Automobiles (FCA) and General Motors (GM), who could reopen plants as early as next week. Ford recently announced a plan to restart a plant in Mexico on a limited shift on 6 April while restarting some of its US plants on 14 April.

There was no mention plans for the company's 2.3mn st/yr Middletown Works.

The idling is the latest in the US. Integrated steelmaker US Steel announced today that it was idling a blast furnace each at its Gary Works in Indiana and Granite City Works near St Louis, Missouri.

ArcelorMittal said at the beginning of the week that it would idle two blast furnaces, one each in Canada and the US.

Gerdau idled the melting and rolling operations at its three special steel mills in the US, only to announce today that it will reopen one in Arkansas over the weekend.


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12/12/24

Rio Tinto to invest $2.5bn in Argentina lithium mine

Rio Tinto to invest $2.5bn in Argentina lithium mine

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Syrah declares Mozambique graphite plant force majeure


12/12/24
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12/12/24

Syrah declares Mozambique graphite plant force majeure

Singapore, 12 December (Argus) — Sydney-based graphite producer Syrah Resources has declared a force majeure for its Balama operations in Mozambique and defaulted on US government-backed debt, given post-election civil unrest in Mozambique. This came as Syrah is unable to carry out production at Balama throughout October-December to replenish inventory and to sell to customers, because of a protest that had began at the site in late September, forcing a force majeure event. Syrah back in October said the protest is disrupting site access and causing production uncertainty. The firm is one of the few established non-Chinese graphite producers. The protest was originally linked to farmers with "historical farmland resettlement grievances", Syrah said. But it has persisted and worsened after Mozambique's general election in October, which triggered violent protests across the country's major cities given claims of electoral fraud. "The protest actions have been peaceful with no evident actions to deliberately damage property, plant or equipment at Balama," said Syrah. But efforts to reach a positive resolution have been "unsuccessful to date", it added. Syrah is still working on restoring operations "as quick as possible" but has acknowledged that any resolution will be a lengthy process. The Balama site has not been producing graphite since July, according to Syrah, owing to sufficient inventory for sales and low graphite fines demand. Balama produced around 24,000t of natural graphite during the April-June quarter. Syrah has been operating Balama in short "campaign" stints this year owing to insufficient market demand at times. The protest also triggered events of default on its loans with the US International Development Finance (DFC) and the US Department of Energy (DOE), given the "impacts and duration" of the protest. The US DFC pledged its first loan to a graphite operation to Syrah, which amounted to $150mn. Syrah also received a $102mn loan facility with US DOE for the expansion of its Syrah Vidalia anode active material facility in US. Syrah is engaging with US DFC and DOE on its defaults, it said.Australian mining company South32 earlier this month withdrew the production guidance for its Mozal Aluminium smelter in Mozambique because of riots and road blockages. By Joseph Ho Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

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US inflation rises to 2.7pc in November


11/12/24
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11/12/24

US inflation rises to 2.7pc in November

Houston, 11 December (Argus) — Headline US inflation ticked higher in November, largely on food and shelter costs, suggesting the Federal Reserve still has work to do to reach its inflation target. The consumer price index rose by an annual 2.7pc in November after rising by 2.6pc through October, the Labor Department said. The gain matched expectations in a survey of economists by Trading Economics. So-called core inflation, which strips out more volatile food and energy, rose by 3.3pc, matching the prior month's gains. Services less energy services rose by 4.6pc following a 4.8pc increase the prior period. Today's report is the last consumer price index (CPI) reading before Federal Reserve policymakers meet next week to assess progress in bringing down inflation to their 2pc long term goal and release economic projections. The CME FedWatch tool today gave a 96pc probability the Federal Reserve will cut its target rate by a quarter point at its last meeting of the year, up from nearly 89pc Tuesday. The Fed began cutting its target rate in September after holding it at a 23-year high for more than a year. The energy index contracted by 3.2pc for the 12 months ending in November after falling by 4.9pc through October. Gasoline fell by 8.1pc and the fuel oil index declined by 19.5pc. The food index rose by 2.4pc over the past year, following a 2.1pc gain through the prior month. Transportation services rose by 7.1pc. Shelter slowed to 4.7pc from 4.9pc The CPI rose by 0.3 in November from the prior month, after rising by 0.2pc in each of the prior four months. The shelter index rose by 0.3pc for the month, accounting for nearly 40pc of the total monthly gain in the headline index, Labor said. By Bob Willis Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

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Assad regime end to alter Mena steel trade flow


10/12/24
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10/12/24

Assad regime end to alter Mena steel trade flow

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Moselle river crash to have limited impact on AM


10/12/24
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10/12/24

Moselle river crash to have limited impact on AM

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