Ontario Partnering with the Federal Government to Protect Canadian Steelworker Jobs

Today, September 30th, the Ontario government, in partnership with the federal government, announced an investment of $500 million to help Algoma Steel navigate changing market conditions and the impact of U.S. tariffs targeted at Canada’s steel sector. Through the Protect Ontario Financing Program, the province is providing a loan of $100 million, while the federal government is providing a loan of $400 million to Algoma Steel Inc. through the Large Enterprise Tariff Loan (LETL) facility.

This investment is part of an agreement between the Ontario government, Algoma Steel Inc. and the federal government to ensure Algoma Steel Inc. has the liquidity and flexibility to respond to changing market conditions and trade considerations due to the impacts of U.S. tariffs.

“Working in partnership with the federal government, Ontario is doing its part to protect workers and communities that are being targeted by U.S. tariffs,” said Peter Bethlenfalvy, Minister of Finance. “Moving forward, our government will continue making every effort to use Ontario steel wherever possible, including in our more than $200 billion infrastructure plan, so that we can create new opportunities for Ontario steelworkers that will keep them on the job for years to come.”

This direct support will help Algoma pivot its operations away from U.S. dependent markets and remain a commercially viable and economically stable source of jobs, growth and opportunity in Northern Ontario.

“The Ontario government is supporting industry and protecting Northern Ontario,” said George Pirie, Minister of Northern Economic Development and Growth. “Algoma Steel plays a key role in the North’s economy and the manufacturing sector in Ontario. We are supporting Algoma Steel in the face of U.S. tariffs and changes in the global market so the company can continue to drive growth and economic opportunity in the North.”

This announcement highlights the importance of the Government of Ontario and the Government of Canada working together in the face of the economic threat and impacts of U.S. tariffs to ensure the prosperity and growth of our local industries.

“It’s time to build big, build bold, and build the strongest economy in the G7 using Canadian steel. The support announced today will help Algoma, a pillar of Canada’s manufacturing base, manage the financial impact of U.S. tariffs. This investment is about helping them adapt operations, stay competitive, and most importantly protect the jobs and the workers who drive this industry.”, The Honourable François-Philippe Champagne, Minister of Finance and National Revenue.

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