Ottawa funnels $90 million to Algoma Steel to bolster steel, aluminum sector
January 11, 2019
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Ottawa announced an investment this week of up to $90 million in Algoma Steel Inc., Canada’s second largest integrated steel producer, which is expected to create more than 3,000 jobs.
“In these challenging times for Algoma, and in the face of unfair and unjust tariffs, we are committed to standing shoulder to shoulder with our hard-working steel and aluminum workers, their families and their communities,” said Navdeep Bains, the minister of Innovation, Science and Economic Development. “Our investment will help Algoma innovate, strengthen the competitiveness of Sault Ste. Marie’s steel plant and support good middle-class jobs for Canadians.”
This investment will create and maintain 3,050 jobs in Sault Ste. Marie, Ont.
Algoma Steel is undertaking $600 million in capital investments over an eight-year period that are vital to the local economy and national steel industry. These investments include projects to adopt new technologies, improve productivity and sustain competitiveness in the global market. Improvements will help Algoma Steel modernize its core production assets, including the steel rolling and steel plate mills, which will position the company to offer a wider range of steel grades and increase production capabilities.
“This support is vital to our modernization initiative, enabling us to grow and sustain our competitive position as an advanced manufacturer in Canada,” said Kalyan Ghosh, president and CEO of Algoma Steel Inc. “We greatly appreciate the government’s continued advocacy for Canadian steel.”