Algoma Steel Group Inc. has released its first statement after an outraged U.S. President Donald Trump announced he's doubling his tariff on Canadian steel and aluminum, in response to an Ontario surcharge on electricity it exports to the United States.
"The North American steel market is highly integrated and Algoma Steel is deeply concerned with any tariffs imposed by the U.S.," said Laura Devoni, Algoma's director of human resources and corporate affairs.
"We continue to monitor the situation closely. The Algoma team remains in close consultation with our customers and the government regarding the challenges this will present to our business.
"Algoma is advocating for swift government action, at both the federal and provincial level to support Algoma and the Canadian steel and aluminum industries during this volatile time," Devoni told SooToday.
Trading of Algoma shares dropped following today's news, reaching a low of $7.55 per share before bouncing to $7.85 by 2 p.m.
It was the first time the Sault steelmaker's shares have dropped below $8.00 since it became publicly traded in 2021.
Trump announced this morning that he will double his planned tariffs on Canadian steel and aluminum on Wednesday, raising the tariffs to 50 per cent.
Trump expressed exasperation at Ontario Premier Doug Ford's announcement on Monday of a 25 per cent surcharge on all U.S.-bound electricity.
But today, Ford backtracked, indicating this afternoon that he's suspending his plan to impose the surcharge on power exports to Michigan, New York and Minnesota.
The Canadian Federation of Independent Business today called on Parliament to immediately reconvene to deal with uncertainty caused by the Canada-U.S trade war.
"President Trump’s tariffs are harming both the Canadian and American economies," Sault Ste. Marie Mayor Matthew Shoemaker told SooToday this afternoon.
"American companies rely on Canadian steel because it is high quality and dependable — this is a matter of economic necessity, not goodwill.
"The economic relationship between our two countries is not the result of American kindness, it is the result of mutual benefit, shared interests and decades of co-operation that have strengthened both economies.
"It is also because many of the raw materials needed to produce primary products are found in Canada.
"The current U.S. administration is becoming an increasingly unreliable trade partner, through tariffs and trade disputes that only drive up consumer costs. Instead of addressing real economic challenges, they are destabilizing productive trade relationships for show.
"Algoma Steel has been a pillar of our local economy for 124 years. Now, more than ever, it needs the full support of the federal and provincial governments to withstand these challenges and continue providing good jobs and high-quality products," Shoemaker said.