Industry Canada

Industry Canada

July 17, 2009 14:12 ET

Industry Minister Clement Takes Further Steps to Hold U.S. Steel to its Investment Canada Act Commitments

OTTAWA, ONTARIO--(Marketwire - July 17, 2009) - The Honourable Tony Clement, Minister of Industry, today made the following statement regarding the current status of U.S. Steel and its commitments under the Investment Canada Act:

"When U.S. Steel acquired Stelco Inc. in 2007, it committed to a series of undertakings regarding, among others, capital expenditures, research and development, and production.

"On May 5, 2009, in response to production cutbacks in Canada, I sent a demand letter to U.S. Steel asking the company to comply with its undertakings under the Investment Canada Act. This demand letter, which was sent pursuant to Section 39 of the Investment Canada Act, represents the first step of the enforcement process under this legislation.

"I have carefully reviewed U.S. Steel's response to my letter. I remain of the view that U.S. Steel is not complying with its undertakings, and I am not satisfied by its explanations for non-compliance. I am therefore announcing today that, on my instructions, an application has been filed with the Federal Court of Canada asking the Court to order appropriate measures to remedy this situation. This is the next step in the enforcement process under Section 40 of the Act."

Contact Information

  • Office of the Honourable Tony Clement
    Minister of Industry
    Pema Lhalungpa, Press Secretary
    Industry Canada
    Media Relations