
Algoma’s New Electric Arc Furnace Begins Green Steel Production
, based in Sault Ste. Marie, Ontario, has successfully launched steel production from its new electric arc furnace (EAF) facility. The first melt at Unit One follows over ten days of transformer module testing and tuning, a critical step in bringing the site online. The company now joins a growing list of North American producers focused on low-emission steel output.
This milestone supports Algoma’s shift from traditional blast furnace and basic oxygen furnace methods to modern EAF technology. In 2021, a SPAC-led acquisition laid the groundwork for this transformation. Since then, Algoma has emerged as a key supplier of hot- and cold-rolled sheet and plate products in Canada. The EAF line brings recycled-content steel capacity online at a time when cross-border trade with the United States faces fresh uncertainty.
Meanwhile, U.S. steel tariffs—first introduced under President Trump—have continued to impact Canadian exports. In early 2025, prices surged due to tariff hikes. Now, the Trump administration threatens to raise tariffs on all Canadian goods to 35%. Despite this, Algoma emphasizes the strategic importance of its EAF operations, which can cut carbon emissions by up to 70% per ton of steel produced.
Volta Brand to Lead Algoma’s Low-Carbon Steel Offering
The newly produced green steel will be branded as Volta, symbolizing the company’s clean energy shift. Algoma chose the name in tribute to Alessandro Volta, the 19th-century pioneer in electricity. With power supplied by Ontario’s clean electricity grid, Volta steel reflects the company’s goal to support the global low-carbon economy.
CEO Michael Garcia described the EAF launch as the “largest industrial decarbonization project in Canada.” He highlighted the planning and execution required to bring the furnace online amid geopolitical and trade tensions. Garcia added, “This moment reflects our commitment to innovation and sustainability, regardless of external pressures.”
Algoma is now positioned to supply a broader customer base with green steel while aligning with global ESG goals. As demand grows for low-carbon materials, especially in the automotive and infrastructure sectors, Algoma’s Volta brand could gain strong market traction.
SuperMetalPrice Commentary:
Algoma’s launch of its first EAF steel marks a pivotal shift in Canada’s industrial metals sector. The timing, amid tariff threats and global decarbonization pressure, signals a bold strategic pivot. By leveraging clean energy and recycled feedstock, Algoma aims to future-proof its business and reduce emissions by up to 70%. This move aligns with broader trends favoring sustainable steel, especially in North America, where regulatory and ESG demands are intensifying. Expect Volta to gain interest across automotive, construction, and energy sectors seeking verified green steel options.
Leave a Reply
You must be logged in to post a comment.