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Seaspan secures Canadian steel supply for new icebreaker fleet

By Jason Nicholson · 3 min read
Seaspan 69

Seaspan Shipyards has selected Algoma Steel and Stigterstaal Canada as the primary suppliers of structural steel plate for up to six multi-purpose icebreakers being built for the Canadian Coast Guard under Canada’s National Shipbuilding Strategy.

The agreement, valued at approximately $182 million, covers the supply of up to 24,000 metric tonnes of Canadian-produced structural steel, equivalent to approximately 4,000 tonnes per vessel. The material will support the construction of the new icebreakers at Seaspan’s shipbuilding facilities in British Columbia.

The arrangement builds on a strategic partnership established between Seaspan, Algoma Steel and Stigterstaal in 2025. Algoma will manufacture the steel, while Stigterstaal will contribute its expertise in marine steel processing and distribution.

Seaspan secures Canadian steel supply for new icebreaker fleet
(from left) Ronald de Groot, CEO, Stigterstaal Canada; Christopher Ford, COO, Algoma Steel Inc.; Kate Morton, VP Supply Chain, Vancouver Shipyards

According to the companies, the agreement forms part of the largest order for polar-class steel in Algoma’s history, which also includes material for Canada’s heavy polar icebreaker, the future CCGS Imnaryuaq. The new supply contract supports Seaspan’s wider multi-purpose icebreaker programme, which comprises up to 16 vessels.

Icebreaker programme and domestic supply chain

Designed in Canada by Seaspan’s icebreaker design team, the multi-purpose vessels will operate in the country’s Lower Arctic and offshore environments. Each ship will measure approximately 100 metres in length, displace nearly 9,000 tonnes and accommodate a crew of 50 personnel.

The vessels will feature diesel-electric propulsion and Polar Class 4 icebreaking capability. They are intended to support a range of Canadian Coast Guard operations, including icebreaking, search and rescue, environmental response and maritime sovereignty activities.

Seaspan said the agreement supports its efforts to increase the use of domestically produced materials across its shipbuilding programmes. Under the National Shipbuilding Strategy, the company has developed a Canadian supply chain involving more than 880 businesses, with contracts exceeding $3 billion.

“This agreement represents another important step towards ensuring that future Canadian Coast Guard vessels are built with Canadian materials, support skilled Canadian jobs, strengthen Canada’s industrial capabilities, and deliver long-term value for Canadians,” said Kate Morton, Vice President Supply Chain Management at Seaspan Shipyards.

For Algoma Steel, the contract represents a substantial commitment to supplying specialised plate for vessels designed to operate in demanding Arctic conditions. The company will produce the material at its steelmaking operations in Sault Ste. Marie, Ontario.

“This is the largest order of polar-class steel in our mill’s history, and a proud moment for our team in Sault Ste. Marie and for Canadian steelmaking,” said Rajat Marwah, Chief Executive Officer of Algoma Steel.

Stigterstaal Canada will support the programme through its marine steel supply-chain and processing capabilities, connecting Algoma’s production with Seaspan’s shipbuilding requirements.

The agreement represents a further step in developing a domestic industrial supply chain for Canada’s icebreaker construction programme, linking steel production, marine material distribution and vessel construction across different regions of the country.

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