The Canadian government is injecting $100 million into the steel industry through a new initiative that covers 50% of the expenses for transporting Canadian steel by ship or rail within the country. Transport Minister Steven MacKinnon unveiled the Commodities Sectoral Support Program in Hamilton, responding directly to U.S. tariffs imposed on Canadian steel, aluminum, copper, and related products. MacKinnon emphasized the national significance of the steel industry, particularly in Hamilton, stating that the program aims to not only protect but also enhance the industry’s growth.
The program, effective immediately, will provide companies with rebates covering half of the expenses for moving certified Canadian-made steel between provinces. It is set to run for a year or until the $100 million funding limit is reached, with a maximum rebate of $50 million available per producer. MacKinnon suggested that the program could be extended if the allocated funds are exhausted before the scheduled duration.
In response to the initiative, Conservative Leader Pierre Poilievre, campaigning in Quebec, proposed extending the current gas and diesel excise tax exemption and eliminating the industrial carbon tax to make steel transport more affordable. He criticized both Trump’s tariffs and Carney’s taxes.
The rebate program aligns with Prime Minister Mark Carney’s strategy to bolster the Canadian economy by streamlining and reducing the costs of domestic product shipments. Industry leaders like Ron Bedard from ArcelorMittal Dofasco praised the program, foreseeing positive impacts across all provinces. Jason Card of the Chamber of Marine Commerce also expressed satisfaction with the announcement, highlighting the program’s potential to enhance the steel industry, fortify supply chains, and boost the national economy.