IPSCO Responds to Presidential Announcement on Steel Tariffs

Lisle, Illinois, December 4, 2003 - IPSCO Inc. (NYSE/TSX:IPS) President and Chief Executive Officer David Sutherland expressed disappointment at today's announcement that the President was revoking tariffs on imported steel. 

While IPSCO supported the continuation of the tariffs for the full three years of the 201 program, Sutherland admits he was not at all surprised by the announcement. "We understand the tremendous pressure President Bush was under to reverse course, but cannot deny we are very disappointed at this outcome," said Sutherland. "The tariffs helped stem the surge of illegally traded steel that was crippling the North American steel market, and provided the opportunity and breathing room to undertake serious consolidation in the U.S. steel market," he added. 

Sutherland stated that the steel industry now requires more than ever, long-term solutions and called on the U.S. Government to intensify its efforts to address the underlying causes of steel overcapacity and government subsidization of production. "The tariffs helped push talks on a steel subsidies agreement forward, and I hope this momentum will not be lost when the tariffs are lifted," noted Sutherland.

Sutherland was also encouraged the President decided to retain the import licensing and monitoring program. However, he said the current system needs improvement to become an effective anti-surge mechanism that is more than just an early warning device. "The import monitoring and licensing system must be given teeth to make it enforceable and we look forward to working with the Administration to implement such changes and also to vigorously apply current trade laws," said Sutherland. He added the industry will need to keep a close watch for new import surges and other illegal trade practices, and use all tools available to fight these activities. 

IPSCO operates steel mills at three locations and further offers a wide range of high strength steel and pipe products at its various pipemaking and coil processing facilities throughout Canada and the United States. As a low cost North American steel producer, IPSCO has a combined annual steel making capacity of 3,500,000 tons.

This news release contains forward-looking information with respect to IPSCO's operations and beliefs. Actual results may differ from these forward looking statements due to numerous factors, including potential markets and demand for the materials produced, levels of potential imports, costs and performance of capital equipment, production levels, market forces, North American pricing of steel and pipe products, outcome of trade and safeguard cases and other matters. These and other factors are outlined in IPSCO's regulatory filings with the Securities and Exchange Commission, including those on IPSCO's Annual Report for 2002, its MD&A, particularly as discussed under the heading "Business Risks and Uncertainties", and Form 40-F, and specifically with respect to 201 matters, the discussion appearing under "Risk factors" in Amendment No.3 to Form F-4.

Company Contact:
John Comrie, QC
Director of Trade Policy and Communications
Tel. 630-810-4730
Release 03-30

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