Canada requests Competition Bureau probe into Cleveland-Cliffs over Stelco acquisition

Canadian Industry Minister Mélanie Joly has requested that the Competition Bureau investigate whether Cleveland-Cliffs, the U.S.-based owner of Stelco Inc., violated the Competition Act. The request follows comments made by Cleveland-Cliffs CEO Lourenco Goncalves, who reportedly stated that the company acquired Stelco to prevent Canadian steel from flooding the United States market to the detriment of his own firm.

The investigation comes amid labor unrest at Stelco’s Hamilton, Ontario, plant. The company has issued layoff notices to approximately 500 employees as it scales back operations. While Cleveland-Cliffs suggested some displaced workers could be offered positions at its Lake Erie facility, the union representing the workers reported that only 40 jobs have been offered to those impacted.

Minister Joly has called for a concrete and credible plan for re-engagement with the affected workers as the federal government's deadline for resolution approaches.