According to a union memo shared with St. Louis Public Radio on Friday, this decision means workers will cease production in November, but the plant will be maintained in a state of operational readiness. The company stated that no layoffs are expected during this process.
Granite City Works is being transferred to Japan’s Nippon Steel as part of a USD 14 billion acquisition process led by the U.S. government. Under the agreement, US Steel and Nippon Steel are prohibited from closing, selling, or idling the facility in the Metro East region for an extended period within the first two years without approval from the Trump administration.
With both blast furnaces currently offline, the future of the plant remains uncertain. While there has been no official announcement from US Steel or Nippon Steel regarding long-term plans, there is speculation that the facility may be sold or permanently shut down.
In a memo sent to members, the union stated, “We understand that this raises questions. As additional details become available, we will schedule informational meetings to provide updates and answer questions.”
In July, union leaders stated that approximately 900 people were employed at Granite City Works. When both blast furnaces were running at full capacity, the number reached up to 2,000. US Steel shut down the first blast furnace in 2019 and halted the second one in 2023.
Granite City Mayor Mike Parkinson emphasized that he has been discussing the development with union president Craig McKey and Illinois Congresswoman Nikki Budzinski, and said they hope to gather more information by Monday.
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