Posted on 14 May 2025
Peruvian Shougang Hierro Perú (SHP) has announced the suspension of production following an accident at its San Nicolás port facilities on 5 May. During a loading process, the company’s only gantry crane collapsed onto a ship, causing an overstock of iron ore and halting the company’s ability to continue operations, Kallanish understands.
“Replacing the damaged equipment will take between four and five months, as it will need to be manufactured in China due to the lack of suppliers of such equipment in South America,” the company states. SHP has classified the event as an unforeseen accident and force majeure, a claim that has been certified by a notary public and Peru’s National Police.
“As a result of this situation, we are implementing a temporary suspension of activities under the Peruvian productivity and competitiveness law. We will take progressive measures to minimise the impact on workers, including the advancement of holidays,” SHP explains.
The miners’ union, Sindicato de Obreros Mineros de SHP, rejected the stoppage, arguing that the collapse of the gantry loader was the result of corporate negligence rather than an unforeseen event. The union says the suspension of activities violates employees' rights, particularly concerning potential irregularities with "forced holidays," and is demanding an immediate investigation into the accident.
SHP declined to comment on the possible losses and impact of the strike on its iron production and exports.
Source:Kallanish
