Cleveland-Cliffs says it is in compliance with commitments to Ottawa, seeks meeting with Joly

U.S. steel maker Cleveland-Cliffs Inc. is reiterating it is in compliance with its Investment Canada Act undertakings and has requested a meeting with Industry Minister Mélanie Joly to discuss ways to potentially reverse its recent layoffs at its subsidiary Stelco.

After the markets closed, Ohio-based Cliffs said in a statement that it had performed an “exhaustive review” of its compliance in its 34 undertakings, referring to commitments it made when acquiring Stelco in 2024. It also said it had submitted a letter to Ms. Joly on Monday confirming it is in “full compliance.”

On Sept. 28, Stelco announced that it was laying off up to 500 workers at its plants in Hamilton and Nanticoke, Ont.

The federal government has said that by proceeding with the layoffs, Cliffs is in breach of its undertaking to maintain at least the same number of unionized employees in Canada for five years.

Joly demands Stelco owner comply with job commitments in new letter, gives 15-day deadline to respond

Cliffs on Monday said that for the current reporting period, it expects Stelco’s average annual employment to be at least 1,879 for its unionized employees, which is 113 above the required level of 1,766. For salaried employment at Stelco, the number is expected to average at least 627, above the required level of 603, the company said.

Ms. Joly has repeatedly said that Cliffs hasn’t lived up to its ICA commitments and warned the company could face legal action or be forced to divest Stelco.

In her latest letter sent to the company on Thursday, Ms. Joly said that by advocating for U.S. President Donald Trump’s steel tariffs, Cliffs chief executive Lourenco Goncalves had violated a promise to be “a strong advocate for policies that benefit both the U.S. and Canadian steel industries.”

But Cliffs said in its Monday statement that it is complying with the undertaking regarding advocacy for trade policy.

In the Monday statement, Mr. Goncalves reiterated his support for U.S. tariffs.

“We remain strong advocates for the U.S. Section 232 policy, and believe a Fortress North America solution would be in the best interest of the United States and Canada,” he said.

Cliffs said it reached out to Ms. Joly on Friday to schedule a meeting “to discuss a path toward resuming full employment of the 175 workers in Hamilton who have been temporarily laid off.”