Sunday , January 17 2021

$ 150 million loan Algoma Steel Inc. Restructuring and modernization of business operations (3 photos)



The federal government provides Algoma Steel Inc. $ 90 million to help Sault Ste. Marie Siderurgias has made an agreement with steel and aluminum steels.

Ontario has also lent $ 60 million to the creation operation to support the restructuring process.

Minister of Economic Development Navdeep Bains and Northern Ontario Development Minister Greg Rickford joined Sault Ste. Marie MP Terry Sheehan and Sault Ste. Marie MPP at the Ross Romano steel shop on Thursday afternoon to make an announcement.

"The federal government's $ 90 million investment reflects truly steelworkers and the steel industry is shoulder-shouldering, and the investment is to modernize the plant to make it more competitive," said Bains. advertisement "It's really a long-term investment to ensure that more than 3,000 Sault Ste jobs are secured and maintained. Marie."

At that time, the steel and aluminum manufacturers at the time were confronted with the prices set by Donald Trump in the United States.

Ottawa has avoided the removal of tariffs, although imports of its merchandise have been imposed on certain United States merchandise, but Canadian surcharges remain.

Last summer, Ottawa announced a package of $ 2 billion in treasury bundles of steel, aluminum and manufacturing sectors, providing an additional $ 1.7 billion loan for the steel and aluminum industry through the Canadian Business Development Bank and Export Development Canada.

"We will go to the United States," said Bains. "Prime Minister Trudeau talked to President Trump about this issue."

My colleagues, Chrystia Freeland, Bill Morneau and I are working together, "he continued." This is our priority for the government – we want to see these unpaid tariffs removed. "

Bains argues that investment by Algoma Steel Inc. says that for eight years in the steel industry, a commitment of $ 600 million is committed to modernizing its operations, while increasing the capacity and ability of advanced steel grades will continue to be competitive on the road.

"This is a must-have," said Bains. "It is investing in the modernization of the plant, that is, it will be enabled [Algoma Steel Inc.] Long-term success ".

In the meantime, the provincial government grants $ 60 million loan to Algoma Steel Inc. to provide a pension fund guarantee fund for pension regulation and benefits.

Rickford has told the reporter that loans are a guarantee that the pensioner will move forward safely and reliably.

"We are creating an opportunity, responsible for the use of taxpayers' dollars," Rickford said. "I think that the most important narrative is to facilitate the restructuring of three dimensions in three dimensions and that Algoma is a good adaptation."

The province has also negotiated an agreement with Algoma Steel Inc. to 3.8 million dollars a year to identify and solve environmental pollution in the past 21 years.

"To make it easier to restructure, through Algoma Steel's environmental protection and old-fashioned restoration plan, it is fair, reasonable and responsible," Rickford said.

Algoma Steel Inc., the CEO of Kalyan Ghosh, said the innovation and expansion project would allow the steel mill to produce new steel automotive steel mills and improve the capacity and capacity of steel mills to manufacture plate and mill.

– Canadian Press files


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