Canadian Algoma Steel has issued 1,000 layoff notices

The Canadian steel company Algoma Steel has initiated the layoff of approximately 1,000 workers at its Sault Ste plant. Marie's object. According to a company statement published in the Canadian press, the company attributed this decision to a combination of high tariffs in the United States and long-planned structural changes related to the transition to steel production in electric arc furnaces. The layoff notices will take effect on March 23, 2026.

The company said the U.

S. tariffs on Canadian steel had "fundamentally changed the competitive environment," significantly impacting its financial performance. At the same time, the blast furnace and coke-chemical units are planned to be shut down, as a new electric arc furnace (EDP) system is being put into operation. This change has been expected for several years.

Mike Da Prat, president of the local branch of the Steelworkers Association (USW) of Canada, said the job cuts would affect about a third of the mill's workforce, with 900 union members receiving layoff notices.

He noted that during the negotiations on the contract for 2022, it was already clear that the conversion of EDP would lead to "hundreds of job cuts." The union and Algoma Steel have been working on mitigation plans, including a job placement program for laid-off workers, but the president stressed that the community must prepare for a permanent reduction in the industrial base.

It is now expected that Algoma's transition to steel production in electric arc furnaces will occur earlier than originally planned, with the shutdown of outdated production facilities and the commissioning of a new EDP scheduled for early 2026.