Congressman Rick Nolan

Representing the 8th District of Minnesota
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Hibbing Daily Tribune: KEETAC TO REOPEN; HUNDREDS TO RETURN TO WORK IN JANUARY

Jan 3, 2017
In The News

KEEWATIN — Keewatin Taconite will end a 20-month closure within the next few weeks, resulting in hundreds of employees returning to work.

U.S. Steel announced in a press release Thursday that will restart Keetac and callback employees in early January. The company anticipates production will begin in March..

Keetac reopening is a result of U.S. Steel reaching agreements to supply iron ore pellets to third-party customers. U.S. Steel will adjust its iron ore pellet production in order to take full advantage of these business opportunities.

 

Iron Mining Association of Minnesota (IMA) President Kelsey Johnson said the restart is indicative of a strengthening iron and steel market, and is in part thanks to instrumental support of statewide partners.

“We are grateful to those who have supported Minnesota’s iron mining industry over the past years,” Johnson said, in a release. “Legislative and community support through environmental, energy and other important issues are a key piece of getting this important industry back on its feet.”

Eighth District U.S. Rep. Rick Nolan called Keetac's reopening “wonderful news for the Iron Range​.”

“In my conversations with U.S. Steel executives, it appears that this will bring back in the neighborhood of 200 good-paying jobs to our region​ at its commencement​,” he said in a release. “This accomplishment is the result of a team effort with the mining companies, steelworkers, the Obama Administration and those of us in Washington who have championed the cause of securing high tariffs and taxes on subpar, low-quality steel subsidized by foreign governments and dumped into our market by trade-cheater nations.”

The high tariffs and taxes have already shown great results for the American mining industry, and they will continue to improve market conditions over the next five years, Nolan said.

“After countless hours testifying before the International Trade Commission and Department of Commerce, working with the administration and bringing White House Chief of Staff Denis McDonough to the Iron Range to see the devastating impact of steel dumping during what many have called 'the day that changed everything,' I am thrilled to see this enormous, positive step,” he added.

In a release, Sen. David Tomassoni, DFL-Chisholm, said he’s overjoyed by the news, which he says is “an indication that both domestic and world markets are improving.”

 

“I’m ecstatic to hear that upward of 500 workers will be heading back to work at KeeTac,” he said. “It’s been a long, hard two years for these workers and their families. Today’s news is an indication that not only is the domestic steel market getting better, but the tariffs on illegally dumped steel are having a positive impact on Iron Range steelworker’s jobs.”

Tomassoni said local elected officials and the Iron Range Resources and Rehabilitation Board (IRRRB) have been working to make sure taconite plants re-open and good-paying jobs are still available to the area’s work force.

“Yesterday, the IRRRB approved more than $1 million of taconite production tax money be reinvested in the Keetac plant and over $6 million area-wide in our plants. The legislature also passed legislation recently, which made permitting of sulfate standards less onerous and EITE legislation, which reduced the cost of power to large power users in our area,” he said. “I believe all of these actions together have had a positive effect with real-world impacts. People getting their jobs back is a big deal. We must continue to remain vigilant and support our industries and the accompanying jobs through bi-partisan actions because jobs should not be political. I am committed to working with the administrations at both the state and federal level. As always, I will work with both sides of the aisle to keep our people working and help create new opportunities and jobs in our natural resource-based economy.”

U.S. Sen. Amy Klobuchar said the “collective voice of American workers” to combat illegal steel dumping has been heard.

“As we head into the new year, this announcement generates both a renewed confidence for the U.S. steel industry to bring back more jobs and a renewed commitment for those of us who continue to fight for a level playing field for American workers,” she said. “ … We cannot rest until every worker is back on the job."

Keetac, which has an annual production capacity of approximately 6 million net tons, has been temporarily idled since May of 2015 due to global influences in the market including high levels of imported steel products, unfair trade and reduced steel prices, according to a release.