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The impact of the Omicron variant and supply chain disruptions are negatively affecting one of Canada's largest steel suppliers.  

 Hamilton-based steel maker Stelco Holdings Inc. shipped approximately 625,000 net tons of steel in the fourth quarter of 2021, well below prior expectations of approximately 675,000–680,000 net tons.

Shipments in the fourth quarter were negatively impacted by various production challenges, including unplanned outages on its hot strip mill, logistics challenges, and delays at the end of the fourth quarter brought on by the emergence of the Omicron variant which affected Stelco, its customers and logistics suppliers, the company said in a realease.

Stelco also says steel shipments for the first quarter of 2022 will be potentially lower than the fourth quarter's.

The lower expectation for the first quarter is due to planned outages, recent softer price environment and weaker demand conditions being experienced currently. Increased COVID-19 related disruptions and their impact on worker availability are also cited.

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