Algoma Steel, an integrated steel producer based in Canada, is laying off approximately 1,000 employees, more than a third of its workforce, in Sault Ste. Marie, Ontario, starting in late March next year. Bill Slater, president of United Steelworkers Local 2724, confirmed the job cuts, which represent a major setback to the city.

The company is accelerating a planned transition away from its costly blast furnace and coke oven operations toward a more efficient electric arc furnace to focus on Canadian steel plate production.

Algoma reported nearly half a billion dollars in losses last quarter, attributing the main cause to the financially damaging 50% US steel tariffs, which accelerated their operational changes and workforce reductions.