Canadian Manufacturing

Energex Tube shutting Welland pipe plant

Company blames closure on an influx of "unfairly traded" Oil Country Tubular Goods imports into North America



WELLAND, Ont.—Chicago-based JMC Steel Group is idling its Energex Tube manufacturing plant in Welland, Ont.

JMC Steel Group purchased the assets of Lakeside Steel—including the Welland tube plant— for $58.7 million in April 2012 and operated it under the Energex division.

Despite significant operational improvements within the Welland plant, JMC cites in a press release the influx of “unfairly traded Oil Country Tubular Goods (OCTG) imports into North America, have greatly reduced the ability for our Welland, Ont. operation to be profitable.”

The company has not returned calls requesting an interview, but the St. Catharines Standard reports there are 126 hourly workers and 36 salaried employees at the facility on 160 Dain Avenue in Welland.

The “indefinite layoffs” will affect all hourly and salaried positions at the facility and will be completed by May 19, 2014.

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