Stelco Holdings recently cut 85 positions, as reported by union leader Ron Wells. This follows a previous announcement of 90 layoffs. The U.S.-owned steelmaker attributes the layoffs in Hamilton and Nanticoke, Ont., to the Canada-U.S. trade war, technological advancements, and shifting market demands, resulting in a reduction of the workforce in Canada’s primary steel manufacturing industry from nearly 29,000 in 2003 to around 14,000 as of July.
According to Statistics Canada, Stelco’s workforce alone was approximately 14,000 strong when Wells began his 47-year tenure with the company. The steel industry has become more efficient, requiring fewer workers to produce a ton of steel. The total workforce of Cleveland-Cliffs, the parent company of Stelco, decreased from about 30,000 to roughly 25,000 between 2024 and 2025.
In response to U.S. tariffs on steel and aluminum imports from Canada, Stelco announced up to 500 layoffs at its Ontario operations, sparking a dispute with the federal government over maintaining a specific number of workers in Canada under the Investment Canada Act. Additionally, other steel companies in Ontario, such as Algoma Steel and ArcelorMittal Long Products Canada, have faced layoffs and facility shutdowns due to market challenges and global competition.
Industry stakeholders have called for measures to address the influx of cheaper foreign steel imports affecting Canadian producers. Concerns have been raised about the impact of tariffs and market conditions on the steel industry’s future in Canada, contrasting with the forecasted growth in U.S. steel production despite shrinking demand.
Despite the challenges faced by the steel industry, there are hopes for a resolution to the trade disputes and a potential return of laid-off workers as the situation evolves. Stakeholders remain vigilant and optimistic about the industry’s outlook amidst ongoing uncertainties.