Cleveland-Cliffs, the US owner of Canadian steelmaker Stelco, announced in late September that it would temporarily shut down parts of its operations in Hamilton and Nanticoke, Ontario, affecting up to 500 workers. The company blamed Trump's tariffs on steel imports, which doubled to 50 percent in June 2025, and competition from cheaper foreign steel entering Canada.
As of Saturday, 175 workers at the Hamilton plant had received layoff notices. Chelsey Masteij, a 34-year-old who worked in the cold-rolling department for three years, was among those laid off on October 9.
The union representing Stelco workers and Canadian government officials have questioned whether the layoffs are fully explained by tariffs. Ron Wells, president of United Steelworkers Local 1005, said workers believe they are "being used as pawns." During a July earnings call, Cleveland-Cliffs CEO Lourenco Goncalves said scaling back Canadian production would have a "positive financial impact on Stelco and on Cleveland-Cliffs." The union later offered to help the company lobby Ottawa for stronger protections against steel imports, but the offer was not accepted.
The Canadian government is threatening legal action, accusing Cleveland-Cliffs of breaking promises made when it bought Stelco in 2024, including commitments to keep unionised jobs and push for trade policies benefiting the steel industries in both countries.