Liberty Steel Temporarily Halts Wire Rod Production in Georgetown
Liberty Steel announced on April 19 that it will temporarily stop wire rod production at its Georgetown, South Carolina mill. As a result, the company now faces a difficult adjustment period driven by market pressure and rising competition from imports.
Market Pressures and Imported Steel
First, Liberty Steel notes that a wave of imported rod has sharply reduced prices. Consequently, wire rod production no longer makes financial sense. The company therefore plans to lay off about 50 of the 79 employees at the Georgetown facility.
However, Liberty Steel will continue to produce steel mesh and welded steel products at the mill. These product lines still serve core construction and industrial customers and help keep part of the site active.
Leadership Stresses Long-Term Commitment
Liberty Steel Chief Operating Officer Pieter Vanderwesthuizen says market forces now work against the company in the rod segment. In particular, he points to increasing imports and higher transportation costs as major challenges.
Even so, he explains that Liberty Steel intends to restart the rod mill when conditions improve and operations become profitable again. Moreover, he emphasizes that the company remains committed to the long-term future of the Georgetown facility and continues to invest in the business.