The Canadian government has allocated $100 million to support the steel industry by launching a program that will cover half of the transportation costs for Canadian-made steel moved by ship or rail within the country.

Transport Minister Steven MacKinnon revealed the Commodities Sectoral Support Program in Hamilton, citing the need to counteract U.S. tariffs imposed on Canadian steel, aluminum, copper, and related products.

MacKinnon emphasized the significance of the steel industry in Hamilton and across Canada, pledging to safeguard and enhance its prosperity.

Under the program, starting today, companies transporting certified Canadian steel between provinces will receive a 50% rebate on transportation expenses. The initiative is set to run for a year or until the $100 million budget is depleted, with individual producers eligible for a maximum rebate of $50 million.

MacKinnon hinted at a possible extension if the program exhausts its funds before the scheduled end date, emphasizing the commitment to support the steel sector.

Conservative Leader Pierre Poilievre proposed extending the current gas and diesel excise tax holiday and eliminating the industrial carbon tax to make steel transport more cost-effective.

The rebate program aligns with Prime Minister Mark Carney’s economic strategy to enhance domestic product shipping efficiency and affordability.

Industry stakeholders, including Ron Bedard of ArcelorMittal Dofasco and Jason Card of the Chamber of Marine Commerce, anticipate significant positive impacts on the steel sector and national economy from this program.