The federal government has pledged $400 million in financial aid to Algoma Steel as the company struggles with the impact of U.S. tariffs, Jobs Minister Patty Hajdu announced Monday.
The loan is part of Ottawa’s large enterprise tariff relief scheme and aims to help Algoma continue operations, reduce reliance on the American market, and limit disruption to its workforce.
In addition, the Ontario government will provide $100 million, bringing total support to $500 million.
“In the face of tariffs and uncertainty around the world, we are ensuring workers and businesses can prosper today and lead in tomorrow's economy,” Hajdu said.
Finance Minister François-Philippe Champagne added the funding will help the steelmaker adapt operations, remain competitive, and protect Canadian jobs.
The aid comes from a $10-billion financing facility announced in March for large companies facing tariff pressures. Ottawa has also rolled out several other measures to support the Canadian steel industry.
