Seaspan Shipyards has officially announced a landmark agreement to procure up to 24,000 metric tons of Canadian-made structural steel, a move that reinforces the nation’s commitment to sovereign shipbuilding. Valued at approximately $182 million, the contract designates Algoma Steel Inc. and Stigterstaal Canada as the primary suppliers for the construction of up to six new multi-purpose icebreakers (MPI) destined for the Canadian Coast Guard.
The deal, formalized under Canada’s National Shipbuilding Strategy (NSS), aims to bolster the domestic industrial base while providing the Coast Guard with advanced, heavy-duty vessels. Each of the six planned icebreakers will utilize 4,000 metric tons of specialized steel, designed to withstand the brutal conditions of the Arctic and offshore environments.
The agreement marks a significant milestone for Algoma Steel, representing the largest order of polar-class steel in the history of the Sault Ste. Marie-based mill. By integrating Stigterstaal’s expertise in marine steel processing with Algoma’s high-quality manufacturing, Seaspan is working to ensure that the future of Canadian maritime defense is constructed entirely on home soil.
“Building Canada’s next generation of icebreakers with Canadian steel is exactly how we strengthen our economic security and sovereignty,” said the Honourable Mélanie Joly, Minister of Industry. Government officials emphasized that the project goes beyond simple manufacturing; it is a long-term investment in skilled Canadian jobs, resilient supply chains, and the safeguarding of Canada’s northern presence.
The vessels themselves are feats of engineering, designed by Seaspan’s in-house team to be approximately 100 metres in length with a displacement of nearly 9,000 tonnes. Featuring Polar Class 4 (PC4) icebreaking capability and advanced diesel-electric propulsion, the ships will house a crew of 50 and serve as vital assets for search and rescue, environmental response, and maritime sovereignty.
For Seaspan, the partnership is a strategic step in their ongoing effort to integrate more domestic materials into the NSS. Currently, Seaspan’s supply chain encompasses more than 880 Canadian companies, with over $3 billion in contracts awarded since the inception of the strategy.
“This agreement represents another important step towards ensuring that future Canadian Coast Guard vessels are built with Canadian materials, support skilled Canadian jobs, and deliver long-term value for Canadians,” said Kate Morton, Vice President of Supply Chain Management at Seaspan Shipyards.
As construction progresses in British Columbia, the collaboration serves as a blueprint for future shipbuilding programs. By prioritizing domestic steel, Canada is not only sharpening its strength at sea but also revitalizing its industrial capacity to meet the challenges of a rapidly changing global landscape. With this contract, the Canadian Coast Guard moves one step closer to receiving the next generation of icebreakers, built by Canadian hands using Canadian resources.
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