U.S. Steel is idling the tin mill at the Gary Works steel mill.
The Pittsburgh-based steelmaker idled the No. 5 tin line in recent months and is now idling the entire tin operation at its flagship steel mill at 1 N. Broadway, along seven miles of Lake Michigan lakefront.
"USS now is in the process of temporarily idling most of the tin mill. It is my understanding that this is mainly due to an increase in imports," United Steelworkers Union District 7 Director Mike Millsap said. "I am not aware of any layoffs."
About 240 workers were moved to other areas of the sprawling steel mill, one of the largest in North America, Millsap said. Some had their hours cut to 32 hours, reducing their pay. Workers have been warned the tin mill could stay closed for six months.
Tin is used in paint cans, aerosol cans and cans for fruits, vegetables, beans, chili, soup and other nonperishable foods.
U.S. Steel has been cutting back on its tin-making operations for years as the market has shrunk. It idled the East Chicago Tin finishing plant at 101 E. 129th St. in East Chicago in 2015 and then indefinitely in 2019. The tin mill it acquired from LTV in 2000 once employed more than 360 workers but has not reopened since it was shuttered in 2019.
Shoppers have gravitated away from canned food toward more fresh produce and supermarket chains have adjusted their stores and inventory accordingly. The tin market also has been eroded by substitutes like aluminum, tin-free steel and recycled tin.
U.S. Steel blamed the idling on market conditions.
"The Gary Works tin division is indefinitely idled, due to market conditions. Our Midwest Plant will continue to produce tin," U.S. Steel spokeswoman Amanda Malkowski said. "Right now, there will be no layoffs associated with the idling, and employees have been reassigned to other areas. We continue to monitor customer demand and market conditions to determine if additional adjustments are necessary to balance supply with demand."
U.S. Steel recently also idled Blast Furnace No. 8 at Gary Works because of market conditions as it looked to reduce capacity to stabilize prices and maintain a higher level of profitability.
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