Along the shore of the St. Mary River, you’ll find the northern Ontario city of Sault Ste. Marie. For more than a century, those who call “The Soo” home have had their local economy propped up by the steel industry.

The recent 50 per cent tariffs placed by the White House on Canadian-made steel has forced the city of roughly 78,000 to bend, though it hasn’t broken just yet.

In December, the company announced roughly 1,000 workers would lose their jobs, marking the largest layoff in Algoma’s more than 125-year history.

Walk through the core of the small city, and you’ll find boarded up businesses, from the local theatre to appliance stores and laundry mats, all shuttered.

Speaking to CTV News outside his union office, next door to a derelict part of the city, he says it’s imperative that Canadian steel producers like Algoma diversify from their reliance on the U.S. market.

“We need to develop our own economy, Canada can’t be a vassal to the U.S.,” Da Prat said.

South Korean defence company Hanwha has announced that it will use steel made at Algoma’s Sault Ste. Marie plant to build armoured weaponized military vehicles in Canada. The deal is contingent on Hanwha winning the lucrative bid to build Canada’s next-generation submarine fleet.

There are other promising opportunities propelling Sault Ste. Marie’s steel industry. Across town you’ll find Tenaris, the steel pipe producer employs 800 people in the Ontario town. In May, Tenaris announced a public-private $300-million investment to expand steel pipe production to keep pace with Canada’s oil and gas expansion plans.

Speaking to CTV News from his office, Castro says Tenaris is weening itself off its reliance on the U.S. and is focused on building its domestic output for Canada’s oil and gas sector, while also exploring business opportunities in Asia and Europe.

Northern Ontario steel town fights back against U.S. tariffs