Donald Trump's tariffs dominated the news this week, with Algoma Steel featuring prominently in a lot of headlines.
The Sault-based steelmaker has already issued temporary layoff notices to 20 employees as the company braces for what could be a drawn-out trade war.
Michael Garcia, Algoma Steel's CEO, was a guest on the latest episode of our Inside the Village podcast. He spoke at length about the plant's history of shipping steel to American customers, how the company plans to adapt to the new tariffs, and the latest news on Algoma's years-long transition to electric arc production.
But Garcia also answered questions about an issue that has concerned many Saultites for a long time: the pollutants spewing from Algoma Steel smokestacks.
“It’s something we take very seriously," he said. "Part of our fundamental core values is to care for the community that we live in.”
Garcia pointed to the electric arc furnaces as "the single most important thing we're doing." When fully operational, the new technology is expected to lower the plant's annual carbon emissions by 70 per cent.
But that won't happen until 2029. In the meantime, Algoma Steel has applied to the Ontario government for new site-specific standards on noise and air pollution, requesting permission to emit known cancer-causing chemicals at levels far above provincial standards.
“Algoma Steel and the technology that we use to make steel were in place long before modern environmental standards were written, so you have the challenge of a modern environmental standard which everybody wants to meet, but you have a business that is in operation," Garcia said.
“We're not going to simply shut an industry down because we have new environmental standards," he continued. "That's an option, but that's a decision that a country needs to make. You have to balance the competing priorities between cleaning up the environment and creating the cleanest and safest environment we can, and dealing with the realities of: we have an economy and we can't shut down broad parts of the economy in order to leap towards this environmental performance immediately. I wish you could."
SEE: Algoma Steel’s respected health and safety chief is no longer with the mill
Garcia was asked what he would say to environment groups who have opposed Algoma Steel's application for a new site-specific standard.
“I would say they have a voice in the debate," he replied. "They have an opportunity to influence the decision makers in Canada and if their argument wins — if that standard were implemented on us — then we would have to admit we can't make it. So we would either be operating at our peril and violating the law, and I don't know what the consequences for that would be. It may be massive fines, jail. Or we would say: ‘Well, we're not going to break the law, we're just going to shut down.’"
Garcia said the company is on the right path toward reducing pollution, and will no longer require a site-specific emissions standard when the electric arc furnaces are complete.
"I embrace the goal of a clean environment every bit as much as everybody else and I want to live in a clean environment," he said. "I want every future generation to be born in a fantastically clean environment. But I also recognize that we're starting from where we are and and how you get there can be quick and incredibly destructive, or it could be a little longer and maybe protect the economy as you go. I think it's a healthy debate to have and I understand — whether you want to call them environmentalists or just simply concerned citizens with a voice — they have a certain view and I respect that. My view sees it a little different, but I think we ultimately want the same thing.”
You can watch Garcia's full interview HERE.
Hosted by Scott Sexsmith and Michael Friscolanti, the Editor-in-Chief of Village Media, Inside the Village is a news and current affairs podcast that provides a weekly window into some of the best local journalism from across our chain of Ontario newsrooms. Produced by Derek Turner, the program also explores bigger-picture issues that impact people across the province.
Every episode can be found HERE. If you prefer the audio version, it is available wherever you find your favourite podcasts.
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