Tenaris Algoma Tubes Inc. is receiving $5 million in FedNor funding for the ongoing expansion of its manufacturing capabilities at its local pipe-making facility.
Sault Ste. Marie MP Terry Sheehan says the funding will enable the company to create a “world-leading steel pipe industrial centre” with the construction of a new mill related to its electric resistance welding operations, and information technology upgrades to improve automation as part of Tenaris’ larger move to consolidate its Canadian operations in Sault Ste. Marie.
It’s expected the funding will create 75 full-time positions and an additional 50 jobs during the construction phase by the end of next year.
“This investment will provide Tenaris with the opportunity to expand Canadian manufacturing in Sault Ste. Marie, bolster innovation and further efforts to replace imports with Canadian-made products,” said Sheehan in a news release. “In addition, the project will increase sales and strengthen the company's alliance with Algoma Steel, increasing the local industry’s competitiveness.”
“This is indeed a win-win for the region and the country.”
Tenaris industrial relations vice-president David McHattie lauded Sheehan’s “active role” in addressing recent sector challenges, including unfair trade and trade issues impacting steel and manufacturing industries in Canada.
“Terry’s helped policy makers and the relevant cabinet ministers understand how these challenges were impacting communities like Sault Ste. Marie, and assured that as solutions were developed, they were developed with communities like ours in mind,” McHattie said during Tuesday’s virtual announcement.
Tenaris Algoma Tubes Inc. received $16 million last year through the federal government’s Strategic Innovation Fund for its upgrade project.
Last week, the provincial government announced $9 million in funding for the steel-pipe manufacturer to expand production capacity and create jobs locally.
Tenaris Algoma Tubes Inc. will receive $5 million in FedNor funding for expansion and upgrades for the company's Sault Ste. Marie facility.
Sault Ste. Marie MP Terry Sheehan says the funding is expected to create 75 full-time jobs by the end of 2021.