The Canadian government has unveiled a $400 million financial aid package for Algoma Steel under its significant corporation tariff relief program, as confirmed by Jobs Minister Patty Hajdu on Monday. This loan aims to assist Algoma Steel Inc. in sustaining its operations, shifting towards a business model less dependent on the United States, and minimizing disruptions to its workforce, according to an official government statement.
Additionally, the Ontario government will contribute $100 million in support, emphasizing the importance of enabling workers and businesses to thrive amidst global tariffs and uncertainties, positioning them for success in the future economy, as stated by Minister Hajdu.
Finance Minister François-Philippe Champagne, responsible for overseeing the financial aid distribution through federal agencies, highlighted the importance of this support in helping Algoma Steel navigate the challenges posed by U.S. tariffs. He emphasized that the investment is geared towards assisting the company in adapting its operations, enhancing competitiveness, and safeguarding employment opportunities.
This financial assistance is part of a larger $10 billion funding initiative launched in March to aid major corporations in combating tariffs and associated counter-measures. It complements a series of initiatives introduced by the Canadian government to support the domestic steel industry in navigating tariff-related challenges.
