Strategic Innovation Fund: $50M for Steel and Aluminium Industry

The government of Canada has recently awarded Hamilton steel and aluminum producer ArcelorMittal Dofasco with Canadian government funding. Financial support from the government will help the company retain over 6,000 jobs, modernize its facilities to enhance productivity and reduce environmental impact, and sustain its competitiveness and long-term prosperity with global partnerships.

ArcelorMittal has received $49,900,000 in manufacturing grants from the Strategic Innovation Fund.

The Strategic Innovation Fund (SIF) is a Canadian government funding program uniquely targeted at Canada’s industrial and technology sectors to fuel the research and development of innovative processes, products, and services. In June 2018, SIF received an additional $250 million in government funding as part of the federal government’s response to U.S. tariffs against Canadian steel and aluminum exports. The program’s investment in ArcelorMittal will not only support the company, but also Canada’s steel industry for years to come.

Strategic Innovation Fund Awards $50M in Manufacturing Grants to ArcelorMittal

ArcelorMittal Dofasco is Canada’s largest steel producer and a leader of advanced manufacturing in North America. Canada’s leading flat rolled steelmaker, the company serves all major steel markets with leading R&D and technology capabilities, as well as sizable captive supplies of raw materials and outstanding distribution networks. ArcelorMittal has presence in more than 22 countries across four continents and their Hamilton, Ontario plant employs approximately 4,700 people and is the city’s largest private sector employer.

To support stability in the Canadian steel and aluminum industry, ArcelorMittal Dofasco has received $50M from the Strategic Innovation Fund (SIF).

Business expansion grants from SIF will support up to 4,700 jobs at ArcelorMittal’s plant in Hamilton, Ontario as well as over 1,700 in Contrecoeur, Quebec. The Canadian government funding will offset part of a $205M project to modernize ArcelorMittal’s facilities in efforts to improve productivity and sustain competitiveness in global markets.

The upgrades to its facilities will help ArcelorMittal increase the efficiency of its operations and enhance its ability to advance high-strength steels to meet Canadian demand in the automotive, energy, and construction industries. Manufacturing grants will also help the company reduce its fuel consumption and lower its greenhouse gas emissions by up to 100,000 tonnes per year.

About the Strategic Innovation Fund (SIF)

The Strategic Innovation Fund offers Canadian industrial and technology-based companies government grants and loans to fuel the research and development of innovative products, processes, and services, and facilitates the growth of innovative firms. Eligible businesses may offset a portion of costs related to strategic investments which lead to long-term competitive advantages within the organization.

The Strategic Innovation Fund provides up to 50% of eligible project costs with a minimum funding request of $10 million in business expansion funding.

The program supports projects related to research and development, facility modifications, equipment, materials, labour, new market access, training, travel, office hardware and software, and legal and accounting fees.

The Strategic Innovation Fund is currently open to applicants. Manufacturing firms investing in advanced technologies are encouraged to apply for the program during the planning phase of their project.

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