Stelco to idle Hamilton plant operations and lay off hundreds amid mounting trade pressures

Stelco will indefinitely idle its cold-rolled and coated operations at its Hamilton Works plant, beginning a wind-down around Oct. 9, citing trade disruptions and a sharply weakened market. The United Steelworkers union estimates about 350 workers will be laid off, while the company says up to 500 employees across Hamilton and Lake Erie Works could be affected; it says some Hamilton employees may find opportunities at Lake Erie Works. Stelco says the change will not reduce its overall steel output or its ability to supply hot-rolled products, though its product mix will shift. The company attributes the decision to U.S. tariffs on Canadian steel and persistent import competition, which it says have contributed to falling demand for cold-rolled and galvanized products.
Stelco said demand for cold-rolled and galvanized products in markets it traditionally serves had fallen nearly 25 per cent by the second quarter compared with the 2024 quarterly average; it also reported a 10 per cent decline in Canadian market demand.
During the shutdown, Hamilton’s coke operation, which employs about 250 people, is expected to remain in operation.
United Steelworkers Local 1005 president Ron Wells said the union still needed to meet with Stelco to determine who would be laid off and ensure layoffs followed seniority, while workers were worried about how long the layoffs would last.
The Hamilton steel operation has significant exposure to the automotive industry, which is itself facing uncertainty from U.S. tariffs, according to the Bay Observer.
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