Ongoing strikes in the US automotive industry have caused demand for steel to drop, with the Wall Street Journal reporting that the price for coiled sheet steel has fallen 40% since April.
US Steel temporarily shut down a furnace at its Illinois, plant last month due to the strike, laying off more than 200 workers. If the strike is prolonged, more shutdowns could follow.
The ongoing UAW strike is the first time the union has launched a simultaneous strike against Ford, General Motors and Stellantis.
Currently, around 25,000 of the 150,000 UAW members employed by the top three US-based automakers are on strike, but the union has not ruled out expanding the strike nationwide if talks drag on.
GM stated that the strike has cost the automaker around $200 million so far, and the company confirmed it secured a $6 billion line of credit the day before.
''We're prepared to do whatever we have to do. We're fed up with falling behind.''Shawn Fain, UAW president
The union has made ambitious demands in wages, benefits and job protections, with union president Shawn Fain commenting; "We're prepared to do whatever we have to do. We're fed up with falling behind. There is no excuse. These companies have made a quarter of a trillion dollars in the last 10 years — $21 billion in the last six months alone — and our workers' wages and conditions have went backwards."