It was because Algoma is deeply impacted by the tariffs. The entire business model of Algoma and all our steel plants was based on the fact they would send steel to U.S. automakers on the other side of the border. That's basically how these plants would become profitable, based on the free trade agreement that we had, and still have, with the U.S., but unfortunately there are now 50% tariffs on the steel and aluminum sector.
What happened is that we offered liquidity, but I really think that by the end of next year we will be able to bring back at least 500 employees to Algoma. I went to Sault Ste. Marie twice last year, including back in December when the announcements of the layoffs happened. I met with the union. I know how frustrating and difficult this is.
We're in conversations as we speak. Actually, I'll be meeting with Algoma this week to support the building of a new beam mill and also a new plate mill. We think that will allow Algoma workers to offer products for the housing sector and for infrastructure building, and at the same time, the military and defence sectors. That's our goal.
It is a really difficult time, but we're having conversations with Algoma. We think we can get to a deal. Also, we are in conversations with Tenaris to create more jobs in Sault Ste. Marie.