The Canadian steel company Algoma Steel continues to seek in the Ontario provincial court the termination of the contract for the supply of iron ore pellets with US Steel. According to local media reports, a decision is expected on October 26 on US Steel's request to suspend Canadian production.
Algoma has been purchasing iron ore pellets from US Steel for a long time, and the current agreement signed in May 2020 is expected to last until the end of the year. The year is 2027. However, on September 29, 2025, Algoma informed US Steel that it was terminating the pellet production contract with the company and filed a lawsuit with the Ontario Supreme Court, in which it stated that both companies were no longer bound by the terms of the contract.
Algoma claimed that their plans to phase out blast furnaces were accelerated due to the introduction of tariffs in the United States. They claimed that US Steel knew that the iron ore was destined to produce products for the US market, and this market was stifled by tariffs. US Steel asked the Ontario Provincial court not to rule on the case, citing that the contract was signed in accordance with Pennsylvania law and that it was beyond their jurisdiction.
US Steel has filed its own lawsuit in Pittsburgh, Pennsylvania, claiming breach of contract to recover more than $22 million. This case is first referred to arbitration.
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