U.S. Steel to Close Some Alabama Steel Operations, Cut 1,100 Jobs

U.S. Steel Corp. said Monday that it plans to permanently close steelmaking and finishing operations at its Fairfield, Ala. plant, a move that will impact 1,100 jobs.

Pittsburgh-based U.S. Steel said it plans to close its Fairfield Works blast furnace and finishing operations at the plant on or after Nov. 17.

The company will continue to operate the slab and rounds casters, #5 coating line and Double G hot-dip galvanizing joint venture in Jackson, Miss.

U.S. Steel said the move will improve the efficiency of its flat-rolled segment.

U.S. Steel has been hurt recently by high amounts of imports, low oil prices and excess inventories. A sharp decline in oil prices has led to a pullback by energy producers and lower demand for steel pipe for drilling.

In January, the company said it would temporarily curtail operations at two plants in Alabama, including Fairfield Work, and one in Texas as the collapse of oil prices continued to punish key segments of American industry.

In late July, U.S. Steel said it expected market conditions to improve in the second half of the year as supply chain inventories rebalance, primarily in flat-rolled markets.

Write to Chelsey Dulaney at [e-mail]

Subscribe to WSJ: http://online.wsj.com?mod=djnwires

(END) Dow Jones Newswires

August 17, 2015 11:45 ET (15:45 GMT)

Copyright (c) 2015 Dow Jones & Company, Inc.