The federal government is allocating $90 million to help Ontario-based Algoma Steel manage the American tariffs imposed on Canadian steel and aluminum.
Economic Development Minister Navdeep Bains will make the announcement at Algoma's plant in Sault Ste. Marie on Thursday, according to various media reports. Ottawa's support comes as Canadian steel and aluminum producers continue to face punishing levies imposed last June by U.S. President Donald Trump.
Canada has rejected the premise of the American duties and has been fighting for the removal of them. Ottawa has implemented tariffs of its own on a long list of U.S. imports in hopes of forcing Washington, D.C. to back down.
In making the Algoma funding announcement, the federal government is expected to say the commitment will help create 3,000 jobs in Sault Ste. Marie. The investment will include up to $60 million from the Federal Economic Development Agency for Southern Ontario and $30 million from a federal program known as the Strategic Innovation Fund.
Finance Minister Bill Morneau met with U.S. Treasury Secretary Steven Mnuchin on Wednesday in Washington to discuss the ongoing need to resolve steel and aluminum tariffs as well as the cross-border trading relationship. Earlier this week, Prime Minister Justin Trudeau discussed the tariffs in a phone call with President Trump, according to a readout of their conversation.
