Canada Metal Processing Group (MPG Canada) and its subsidiaries, Ivaco Rolling Mills, Sivaco, and Infasco, have announced cost-cutting measures to address market challenges and potential U.S. tariffs on steel.
Amid weaker demand and rising imports, MPG Canada will reduce its workforce by 140 employees across Ontario and Quebec, implement cost-saving initiatives, and halt or cancel certain projects. These steps aim to maintain competitiveness and sustain operations in the short term, the company stated.
The company cited a sluggish market in 2024, weak North American demand due to U.S. election-year uncertainties, and the growing risk of a 25pct tariff on Canadian steel and other products as key concerns impacting business.
MPG Canada urged the Canadian government to take immediate action, including imposing retaliatory tariffs without delay, supporting workers and businesses, preventing unfairly traded imports through broad Section 53 surtaxes, and promoting domestically produced steel with lower carbon intensity. The company also called for closer collaboration with the U.S. to establish a unified North American steel trade policy.
MPG Canada, part of The Heico Companies, operates six manufacturing sites in Quebec and Ontario. Its facilities include an electric arc furnace steel plant, billet caster, rod mill, wire mills, and a range of fastener manufacturing and coating operations.