On Tuesday, Energex Tube, a division of pipe manufacturer JMC Steel Group, announced that due to increased import pipe products into Canada, it will be forced to reduce the workforce at its Dain Avenue mill in Welland, Ontario. This plant currently produces tubular products, up to 8" in diameter that are used in the oil and gas industry.
"We operate in a challenging market. For a number of years, Energex Tube (formerly Lakeside Steel) has been materially impacted by low-priced imports from offshore. Many of these imports offended international trade rules and are unfairly priced, taking sales from North American producers, forcing down domestic prices, and adding pressure on our operations in Welland. Where appropriate, we will seek recourse to Canadian trade laws to protect our market from any unfairly priced offshore product. Our objective is to maintain Energex Tube as a leading producer of pipe." said David Seeger, President, JMC Steel Group.