ArcelorMittal shuts down Trinidad and Tobago plant

Global steelmaker ArcelorMittal has shut down its Point Lisas mill in the state of same name in Trinidad and Tobago, following the dismissal of 644 workers, according to local press.

“Despite the company's considerable efforts to avoid the closure of the iron and steel facility, a combination of local and international challenges has resulted in a decision to close the business, which has been under severe financial distress since the second half of 2015,” the company said, while explaining its decision, which was labeled by a local official as “punitive and disrespectful to the extreme.”

According to the steelmaker, the Trinidad-based facility has been idled since November 23 last year, as 480 workers were temporarily laid off as the company “worked to find an alternative solution to closing the plant.”

Arcelor said the mill’s shutdown was the “last resort” it found to the struggling subsidiary.

The company said it had talks with the local government as well as with other stakeholders to “find another solution” for the company, including a potential sale. It said it could even transfer the mill to the government. However, no agreement was reached. “Unfortunately these discussions have not had a successful outcome,” ArcelorMittal said.

Despite Arcelor’s claims that it “discussed” the matter with the government of Trinidad and Tobago, the nation’s prime minister, Keith Rowley, said such a far reaching action, taken “without reference or discussion with the government of Trinidad and Tobago,” was “punitive and disrespectful in the extreme.”

The minister said it expects the decision isn’t the end and added “there is still room” for the country and investors to talk and work out a way out of what he called as “very real difficulties.”
 
ArcelorMittal's Point Lisas facility in located just 10 miles away north from the coast of Venezuela. It produces hot-briquetted iron (HBI) and has a 550,000 mt/year capacity.