Sault MP Terry Sheehan is crediting the leadership of Prime Minister Mark Carney after today’s announcement of $5.2 billion in new federal and provincial funding for Canadian steel companies.
“We are at ground zero in this trade war, and today’s announcement gives us more ammunition to continue to punch back because (U.S. President Donald) Trump set out to destroy the steel industry, including our steel industry, and we’re not going to let him do that,” Sheehan told SooToday.
The joint steel action fund announced by Carney and Ontario Premier Doug Ford will receive $3.55 billion in federal cash and $1.67 billion from the province.
A news release said the money is intended to “diversify production, prepare Canadian steel firms to support emerging and growing Canadian industries such as defence, advanced manufacturing and energy and trade infrastructure, and open up new overseas markets for Canadian steel.”
Sheehan described Carney as “the right man at the right time to deal with Donald Trump, to deal with this trade war.”
Today’s federal-provincial steel announcement was part of an $8.7-billion economy-building package that also includes:
stronger protections against foreign steel dumping and unfair subsidizing through enhanced enforcement by the Canada Border Services Agency and tighter trade remedy practices and compliance measures
new Canada-Ontario Steel Task Force to provide strategic advice on measures to support the steel sector
leveraging the Buy Canadian Policy and Buy Ontario Policy to prioritize Canadian steel in public procurement and strengthen domestic demand
providing an additional $2.5 billion over two years in capital projects to enable manufacturers to invest in modern machinery and upgraded production lines to build the connected and electric vehicles of the future
establishing a Canada-Ontario Automotive Task Force to support the industry’s transition and better co-ordinate the implementation of new measures
advancing essential road infrastructure to support critical mineral development in northern Ontario’s Ring of Fire region by the Canadian government matching the provincial government’s initial investment of up to $1 billion over three years
establishing a co-ordinated process for provincial and federal permitting to help streamline approvals and further speed up building
establishing a working group to support meaningful engagement with First Nations, identifying economic and community development opportunities. The work of this group will also include studying options for conservation and/or Indigenous protected areas as development in the Ring of Fire region moves forward
Algoma Steel was glowing with enthusiasm for the initiatives announced today.
“This is exactly the kind of decisive, co-ordinated action our industry needs at a time of unprecedented trade pressure,” said Laura Devoni, the steelmaker’s vice-president for human resources and corporate affairs.
“The measures send a bold signal that Canada recognizes the strategic importance of domestic steelmaking and is committed to protecting the industry, our workers and our long-term competitiveness.
“Algoma thanks both Prime Minister Carney and Premier Ford for their strong leadership and coming together to stand behind Canadian steel with comprehensive measures including the Joint Steel Action Fund, prioritization of Buy Canada and Buy Ontario procurement policies, strengthened protections against foreign steel dumping and the establishment of a Canada-Ontario Steel Task Force.
“With our new electric arc furnaces in place, and ambitious diversification plans to expand our product capabilities, Algoma is positioned to play a leading role in Canada’s industrial future.
“We are ready to supply lower-carbon Canadian steel for the Build Canada agenda, including infrastructure, defence, shipbuilding and other nation-building projects that will strengthen our economy and security for decades to come. Sault Ste. Marie steel will help build Canada strong,” Devoni said.
Sheehan said today’s announcement will benefit both Algoma Steel and Tenaris.
“This will be for the steel industry in Canada, and places like Algoma Steel and Tenaris will be able to access,” he said.
“I was recently in Calgary meeting with the [Tenaris] executives there. That’s their corporate headquarters — about further plans to take advantage of Mark Carney’s vision to become an energy superpower.
“We’re working on that as well. So, you know this. This funding would be available for future plans at Tenaris as well,” Sheehan said.