- To Strengthen Canada’s Steel and Energy Supply Chains
- Major reinvestment would modernize Ontario steel pipe manufacturing capacity, create 200 jobs and increase domestic production for critical energy infrastructure
SAULT STE. MARIE, ON (May 26, 2026) — Tenaris is planning a $306 million reinvestment to modernize and expand its steel pipe manufacturing operations in Sault Ste. Marie, Ontario, strengthening Canada’s domestic supply chain for energy infrastructure and reinforcing Northern Ontario’s role in advanced steel manufacturing.
The project, welcomed by Invest Ontario, would be supported by a conditional loan of up to $72 million from the Invest Ontario Fund, subject to the execution of a definitive funding agreement.
The expansion is expected to create approximately 200 new jobs and increase annual domestic production of seamless and welded pipe by roughly 80 percent. These products are used in critical oil and gas drilling, production and transportation infrastructure, supporting Canada’s energy sector and strengthening the country’s sovereign supply chain.
Tenaris produces seamless and welded steel pipe from its Canadian manufacturing hub in Sault Ste. Marie, including Oil Country Tubular Goods and line pipe products used across oil and gas applications. The new investment would modernize production lines, expand advanced automation and process improvements, increase annual manufacturing output and broaden the company’s product mix to better meet demand from Canadian energy markets.
The project comes as Canada advances natural gas, LNG export and oil infrastructure projects, while Northern Ontario’s steel sector continues to navigate economic pressures and trade disruption. The investment also highlights Ontario’s position as a competitive location for large-scale industrial investment and as a secure North American base for advanced manufacturing.
“In Canada, we know energy connects us,” said Martín Castro, President of Tenaris in Canada. “Tenaris steel pipes, manufactured in Ontario and delivered through our Rig Direct® service network to oil and gas operators across the country, enables Canadian energy sovereignty. With this more than $300 million CAD investment, on top of more than $350 million CAD invested since 2020, we illustrate Tenaris’s steadfast commitment to Canadian manufacturing. Today’s milestone builds on this momentum to expand Canada’s domestic supply chain for OCTG and line pipe.”
Ontario officials said the expansion demonstrates confidence in the province’s workforce, industrial base and long-term economic strategy.
“Tenaris’s investment in Sault Ste. Marie is a strong vote of confidence in Ontario’s world-class workers, and in our plan to protect Ontario by building a more competitive and resilient economy,” said Doug Ford, Premier of Ontario. “Our government will continue to stand up for workers in industries impacted by tariffs both here in Sault Ste. Marie and across Ontario by diversifying our economy, finding new trading partners and supporting new pipelines, rail lines and other projects that use Ontario steel to open up new markets for Ontario products around the globe.”
“Amid global uncertainty, Ontario’s stable, reliable and predictable business environment continues to instill confidence and attract job-creating investments,” said Hon. Vic Fedeli, Minister of Economic Development, Job Creation and Trade. “We congratulate Tenaris on this latest milestone and look forward to seeing Northern Ontario’s talented steel workers remain at the heart of their success.”
Provincial leaders also emphasized the role Ontario-made steel can play in national energy, infrastructure and supply chain resilience.
“With unprecedented risk facing Canada’s economy, our government believes strongly that we must build and buy more products made right here at home,” said Stephen Lecce, Minister of Energy and Mines. “This investment in Sault Ste. Marie is a major vote of confidence in our plan to keep taxes, red tape and energy bills down. From beginning construction on the first Small Modular Reactor in the G7 to advancing major transmission projects, our government is building big, building Canadian and building with Ontario steel.”
“It is great to see Tenaris expand their footprint in Sault Ste. Marie and build on a decades-long presence in Northern Ontario,” said George Pirie, Minister of Northern Economic Development and Growth. “This investment will create new opportunities for workers, enhance local manufacturing capabilities and ensure Ontario can continue delivering high-quality steel products that support Canada’s future.”
Invest Ontario said the project reflects the strength of the province’s manufacturing sector and the value of coordinated support for global companies looking to expand in Ontario.
“Tenaris’ expansion reflects the strength of Ontario’s manufacturing sector, and the vital role Northern Ontario plays in supporting Canada’s energy supply chain,” said Khawar Nasim, CEO of Invest Ontario. “Invest Ontario can help the company navigate programs, connect with partners and coordinate across government. We are pleased to support Tenaris as it looks to grow its operations and continue creating jobs in Northern Ontario.”
Tenaris is a global manufacturer and supplier of steel pipe products and related services for the energy industry and other industrial applications. The company serves many of the world’s leading oil and gas companies and reported revenues of $12 billion USD in 2025. Tenaris employs approximately 25,000 people worldwide and operates an integrated network of steel manufacturing, research, finishing and service facilities across major energy markets in the Americas, Europe, the Middle East, Asia and Africa.
Invest Ontario is the province’s dedicated investment attraction agency, serving as a one-window partner for global businesses evaluating growth opportunities in Ontario. The agency focuses on strategic investments in advanced manufacturing, life sciences and technology that create jobs, generate returns for the province and strengthen Ontario’s long-term global competitiveness.
