Canada steel, aluminum plants lay off workers due to US tariffs

By Anna Mehler Paperny

TORONTO (Reuters) - Hundreds of Canadian workers, galore successful the alloy and aluminum sectors, person been laid disconnected arsenic a effect of U.S. President Donald Trump's tariffs, according to a large national and companies.

Economists warned this was lone the opening arsenic the interaction of tariffs is expected to broaden the longer they are successful place. Uncertainty surrounding Trump's policies has formed a chill implicit Canada's system and labour market.

Trump imposed tariffs connected alloy and aluminum connected March 12; much tariffs could beryllium coming connected April 2.

Marty Warren, nationalist manager of the United Steelworkers - the largest private-sector national successful North America, with much than 225,000 members successful Canada - said helium has heard from members that astir 200 of them are already retired of a job.

Affected companies see Canada Metal Processing Group, which issued a February 24 property merchandise announcing a workforce simplification of 140 employees owed successful portion to "the menace of incoming tariffs from the United States connected alloy and alloy derivatives." Those threatened tariffs are present successful place.

The workforce simplification is simply a operation of imperishable layoffs, impermanent layoffs, enactment stock and retirements, a institution spokesperson told Reuters, adding the institution is besides freezing hiring for caller oregon vacant positions.

Canada is the apical supplier of alloy to the U.S.

Warren told Reuters Ontario-based Algoma Steel has besides laid disconnected 27 people. Algoma Steel CEO Michael Garcia told Reuters the institution had laid disconnected astir 20 radical and could laic disconnected much if they cannot find caller Canadian customers.

"Everyone losing a occupation oregon laid disconnected is simply a large hit," Warren said.

He said helium expects "a tidal wave" adjacent week, erstwhile a 30-day reprieve is expected to extremity for goods compliant with the trilateral U.S.-Mexico-Canada free-trade agreement.

"With the full-blown tariffs coming successful connected April 2 … it'll astir apt impact 100,000 of our members."

Scott Noseworthy has worked arsenic a shredder relation astatine the Canada Metal Processing Group's Ivaco works successful eastbound Ontario for 4 years. Workers got announcement of a imaginable layoff much than a period agone but were not definite it was happening until overmuch later. They were hoping tariffs would beryllium averted.

"When Trump imposed the tariffs it benignant of deed america and brought america to a halt," helium said. Now the program is to beryllium backmost astatine enactment this week but doing attraction and clean-up work. After that, helium does not know.

He said the uncertainty is pugnacious with a two-year-old girl astatine home.

“It's hectic: You're not definite whether oregon not you’re going to person enactment 1 week to the next,” helium said.