After completing a more than $14 billion deal for U.S. Steel this week, Japan-based Nippon Steel seemed to give Granite City Works in the Metro East a reprieve. The companies said production won't be cut for two years, marking the first time they had spoken about the future of the Metro East facility in nearly two years.
But during a press conference at the Tri-County Labor Temple on Saturday, Congresswoman Nikki Budzinski and leaders of the United Steelworkers union wanted more than just words from Nippon. They want a commitment to provide hundreds of millions of dollars worth of investment in the critical economic driver for Granite City.
“This city is more than just a dot on a map. It's a community built by generations of steelworkers. By families who poured their blood, sweat and tears into an industry that not only forged steel, but forged the American middle class,” Budzinski said. “We gather here to demand that this community have a seat at the table in the deal brokered between President Trump and Nippon Steel.”
President Donald Trump touted Nippon’s purchase of U.S. Steel in recent weeks, especially a provision that gave the U.S. government major say in how the company operates. Budzinski noted that in a Pittsburgh speech lauding the sale, Trump didn’t mention Granite City and “failed to consult the hundreds of workers who built this industry as a bedrock of our community.”
If the deal is to move forward, Budzinski wants Trump’s administration to do three things:
- Bring steelworkers to table to make sure they have a say in how the deal is structured.
- Make sure that all collective bargaining agreements are “respected and upheld.”
- Have at least $500 million from Nippon deal go “specifically to upgrading Granite City Works.”
“Keeping the facility open means nothing if they don't have the equipment to stay competitive,” Budzinski said. “Granite City has been producing steel for 128 years. … What have they gotten in return today? It’s mass layoffs, idle blast furnaces and a growing uncertainty. And that's why we're here today, because they deserve a hell of a lot better than that.”
Granite City Works’ blast furnaces have been idle for several years. And SunCoke, a company based in Lisle, Illinois, said last week that it plans to forge ahead with converting blast furnaces into granulators – which could ultimately shut down steelmaking in the Granite City Works facility.
Craig McKey, president of United Steelworkers Local 1899, said workers have “been in limbo for a long time” and “we just want to know what's going on.”
“We still don't know what our future is,” McKey said. “We're trying to remain optimistic that maybe Nippon will come in and have a different future for us than what U.S. Steel did in ‘22 with pretty much telling us over a couple years they were going to shut this facility down. But we truly don't know right now.”
Noting that Trump visited Granite City in 2018 to tout the impact of his tariffs on steel and aluminum, United Steelworkers Sub-District Director Jason Chism said the GOP chief executive shouldn’t leave Granite City behind.
“I know he knows us here in Granite City,” Chisom said. “And what our message to him is: Don't forget about us hardworking steel workers here in Granite City, Illinois. Because we stand ready to make product right now. But we need those investments. And you need to force Nippon and US Steel to make those investments here in Granite City.”
