Hanwha Ocean & Algoma Steel Boost Canadian Steel & Jobs | Mariner News
Hanwha Ocean, a global leader in shipbuilding and submarine manufacturing, has formalized a significant partnership with Algoma Steel Inc., a prominent Canadian steel producer. This binding Memorandum of Understanding (MOU) is set to deliver a substantial boost to Canadian steel and jobs, underpinning crucial national defense projects. The collaboration highlights a strategic investment designed to strengthen Canada’s industrial capabilities and ensure long-term domestic supply chains for critical infrastructure.
Strategic Investment in Canadian Infrastructure
This landmark agreement sees Hanwha Ocean committing up to USD $250 million (approximately CAD $345 million). A significant portion, USD $200 million (CAD $275 million), is earmarked for Algoma Steel’s potential development of a new structural steel beam mill in Sault Ste. Marie, Ontario. This investment is pivotal for modernizing steel production, enhancing Algoma’s capabilities, and securing high-quality steel for future projects, particularly for submarine construction and maintenance.
Securing Domestic Supply Chains and Regional Growth
Beyond facility development, Hanwha Ocean also pledges to purchase up to USD $50 million (CAD $70 million) worth of Algoma products. This Canadian-made steel will be integral to Hanwha’s commitments related to the Canadian Patrol Submarine Project (CPSP), including vessel construction and the establishment of Maintenance, Repair, and Overhaul (MRO) infrastructure. Planned MRO facilities in Nova Scotia and British Columbia will support the submarine fleet throughout its operational lifecycle, driving economic growth and creating skilled employment opportunities across multiple Canadian regions. This partnership underscores a commitment to local content and industrial resilience.
