Algoma Steel is set lay off around 1,000 members of staff at its Sault Ste. Marie works in Canada in early 2026.
According to CBC Canada, workers at the Northern Ontario mill have been given lay off notices effective late-March 2026.
Michael Garcia, CEO of Algoma Steel, highlighted that the decision to halt these operations a year early was the result of US tariffs limiting ‘fair, free, and competitive access to the markets’ and customers.
Garcia said: “This sudden loss of access forced a fundamental shift in our competitive reality.
“Algoma’s response is not simply to 'pivot,' but to accelerate a strategy that has been years in the making: transforming Algoma into a lower-cost, more flexible, and more resilient steelmaker built for the future of the Canadian market.”
He added: “We recognised long before the tariffs that the EAF was essential to securing Algoma’s future. It modernises our plant, broadens our product offering, and positions us as a global leader with access to new markets.”
Garcia concluded that despite this news, he is still confident in the future of Canadian steelmaking, in part due to government policy.
He remarked: “With this foundation—and with the continued backing of the Prime Minister, the Premier, their governments, and our dedicated workforce—I am confident that Algoma Steel will not only endure but lead in the next era of Canadian steelmaking.”
