Faced with the possible loss of around 20,000 jobs due to the likely imminent closure of Huachipato, workers are calling on the government to impose tariff barriers on Chinese steel products. They are also looking for sustainable solutions that can secure the future of the company and prevent a further decline in the region’s workforce.
Government and workers support productive reactivation
Daniela Dresdner Vicencio, Presidential Delegate of Biobío, stated that they have set up a productive reactivation committee with the aim of addressing the situation in Huachipato from the ground up and in depth and getting a handle on the economic situation of the region. It is expected that this committee will bring together the various entities that can have an impact on the current situation not only of Huachipato, but also of other companies facing similar problems, and will develop a productive reactivation plan for the region that will not be too leading to further job losses.
An uncertain employment outlook for workers
Héctor Medina, president of Sincato 1 in Huachipato, lamented the severity of the crisis and explained the impact that a possible closure of the company would have. According to Medina, the situation could impact more than 20,000 jobs, including 3,300 direct jobs, 9,600 indirect jobs and another 7,300 in the production chain. Medina also demanded that President Boric set the surcharge percentage for Chinese steel products to equalize competition.
Steel sector: The aim is to protect the local industry
The crisis in Huachipato has led to a series of requests and proposals from various production sectors and unions. For example, Biobío’s group of production organizations, AGOP, has officially called on the government to protect the national steel industry and called for the introduction of protective measures for imported steel. This was supported by other personalities and entities such as the Chamber of Production and Commerce, CPC Biobío and the Mayor of Talcahuano, among others.