Canada's Algoma Steel posts higher net loss for 2025, details EAF transition and impact of Section 232 tariffs

Friday, 13 March 2026 15:48:50 (GMT+3)   |   Istanbul

Canada-based steel producer, Algoma Steel, has announced its financial and operational results for the fiscal year 2025.

In 2025, the company registered a net loss of CAD 984.9 million, compared to a net loss of CAD 139 million in 2024, while its revenues totaled CAD 2.08 billion, compared to CAD 2.46 billion in the previous year.

In the same year, the company’s adjusted EBITDA was a loss of CAD 261.4 million and its EBITDA margin was 12.5 percent. The company’s shipments in 2025 totaled 1.74 million mt, down by 14 percent from 2.02 million mt in 2024

Blast furnace operations shut down earlier than planned

According to Algoma, the acceleration of electric arc furnace (EAF) operations coincided with the company's decision to wind down blast furnace and coke oven operations ahead of the originally planned 2027 timeline. Production through the blast furnace route ceased shortly after December 31, 2025, and all liquid steel is now produced via the EAF facility. Following completion of the transformation, Algoma stated that its plant is expected to have an annual raw steel production capacity of approximately 3.7 million mt, matching its downstream finishing capacity.

The company also noted that the transition is expected to reduce annual carbon emissions by about 70 percent compared to pre-EAF levels.

Strategic shift toward plate production

Algoma stated that it plans to focus on the manufacturing and sale of steel plate, while scaling back coil production as the EAF ramps up. The company explained that this decision aligns with the current realities of the Canadian market, where Algoma holds a unique position as Canada’s sole producer of plate. According to Algoma, the strategy is expected to reduce tariff exposure, lower operating costs and improve cash efficiency.

Section 232 tariffs limit Canadian access to the US market

Algoma noted that during 2025 it continued to face the impact of US trade actions, including a 50 percent tariff on steel imports under Section 232 of the Trade Expansion Act of 1962. According to the company, these measures significantly restricted access to the US market for Canadian steel producers, resulting in oversupply of steel coil in Canada and sustained price compression in domestic markets.


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