NDP leaders urge Ottawa to nationalize Stelco to protect steel jobs

Federal and provincial New Democratic Party leaders are calling on the prime minister to nationalize Stelco to save Canada’s steel industry.

The calls come as Stelco says Canadian exports of cold-rolled and coated steel to the United States have plunged 58 per cent compared with pre-trade-war levels.

In a letter to Canada’s Industry Minister Mélanie Joly, Stelco president Paul Simon cited continued foreign imports putting pressure on domestic producers.

The seven-page note revealed that Canadian exports of those steel products to the United States fell by 226,000 tonnes in the second quarter of 2026, compared with the 2024 quarterly average. 

The Oct. 9 letter came in response to Joly’s demand that Stelco explain how it will honour job commitments, after the manufacturer announced plans to lay off up to 500 workers in Ontario.

Carney echoed the sentiment of Joly’s order, saying Ottawa will use all the powers they have to fight against the move by Cleveland-Cliffs.

In a statement sent to CHCH News, federal NDP Leader Avi Lewis said, “Stelco’s American owners have broken legally-binding commitments that they agreed to when they purchased the company in 2024, including maintaining at least the same number of unionized workers and most non-unionized employees.”

Lewis says it’s a positive sign the Canadian government is preparing to take legal action, but added that a court process would take years to resolve.

Because of the lengthy process legal action might bring on, he says the government needs to take immediate action and nationalize the plant to save jobs and protect the Canadian steel industry.

WATCH MORE: Federal government weighs legal action over Stelco’s layoffs

Leader of Ontario’s Official Opposition NDP Marit Stiles is also pushing for the Liberal government to protect the jobs and the steel industry by nationalizing Stelco, which means establishing public ownership and Canadian management.

“Public ownership of Stelco will mean keeping good jobs, reliable supply of Canadian steel, and it’s a strategic advantage for nation-building projects and future investments,” said Stiles. “We can use our provincial power to support this sector by fast-tracking nation-building projects that are committed to using Canadian steel. The increase in demand will help attract investors for existing facilities to maintain domestic supply.”

The chief of staff for the United Steelworkers says if nationalization will prevent layoffs and protect these jobs, then the union is open to it.

“I think that it’s something that could happen,” said Meg Gingrich, assistant to the national director of the United Steelworkers. “You know, there’s a lot of steps and other options in there that could potentially work. But if Stelco is unwilling to adhere to the commitments it made, nationalization is an option. We’ve seen that elsewhere in the world when it comes to it. The steel industry—it is so important to a country’s sovereignty, to its national security and so on. If that’s what it takes to maintain employment and keep these jobs, then, you know, we’re open to it.”

Lewis says that the CEO of Cleveland-Cliffs is a supporter of Trump’s tariffs, “which are designed to deindustrialize our economy and destroy our manufacturing base.”

Carney recently told the media that the job cuts at Stelco are a result of Trump’s tariffs on Canada that have targeted key industries across the country.

CHCH News has reached out to Cleveland-Cliffs several times but has heard no response after several attempts. CHCH has also reached out to the industry minister for comment today but has not received a response.

WATCH MORE: Stelco employee among hundreds facing uncertainty after layoffs