Canadian Prime Minister Mark Carney accused the U.S. owner of steelmaker Stelco, Cleveland‑Cliffs, of betraying Canadian workers after the company announced layoffs tied to President Donald Trump’s steel tariffs. The layoffs were justified by Cleveland‑Cliffs as a response to the 50% tariffs that the company’s chief executive, Lourenco Goncalves, has publicly defended as a necessary step to protect U.S. steelmakers.
Stelco said up to 500 workers could be affected as it indefinitely idles cold‑rolled and coated operations at its Hamilton, Ontario, plant and shifts production to its Lake Erie facility in Nanticoke, Ontario. Cleveland‑Cliffs stated that output would remain unchanged, with the Nanticoke plant absorbing a significant number of Hamilton workers.
Carney said the company’s actions had betrayed workers and families, threatened legal action, and noted that Cleveland‑Cliffs has binding employment obligations stemming from its C$3.4 billion takeover of Stelco in 2024. He also highlighted that the federal government had offered financial assistance to preserve jobs, though he did not disclose the amount.
The Canadian government approved Cleveland‑Cliffs’ takeover in October 2024 on the condition that it meet legally binding five‑year employment commitments, including maintaining the same number of unionized workers and the vast majority of nonunion employees. Cleveland‑Cliffs did not immediately respond to a request for comment on Carney’s remarks.
