Photo credit: Nick Waldner
Nestled on the west bank of the Red River, approximately 29 kilometers north of Winnipeg, lies the City of Selkirk, Manitoba. While known as the "Catfish Capital of the North," a less heralded but equally significant aspect of Selkirk's identity is its deep-rooted history in steel production. For over a century, a steel mill, now operating as Gerdau Selkirk, has been a cornerstone of the local economy, providing livelihoods for generations and shaping the industrial landscape of the region. This essay will delve into the rich history of the Selkirk steel mill, tracing its origins, its evolution under various managements, particularly the transformative period following its acquisition by Gerdau, and its navigation through the ever-shifting currents of the global tariff situation.
The Genesis of Steel in Selkirk: Laying the Foundation (1912-1995)
The story of steel in Selkirk begins in the early 1910s, a period of burgeoning industrial growth in Western Canada. Recognizing the economic potential of a local steel rolling mill, a group of Selkirk businessmen formed the Selkirk Development Company Limited in 1912. They offered a compelling incentive to relocate a fire-damaged steel rolling mill from St. Boniface to Selkirk: 30 acres of land free of charge and a 40% reduction in property taxes for 12 years, contingent on employing at least 15 local residents. This strategic move aimed to diversify Selkirk's economy, which at the time relied heavily on river port activities, shipbuilding, lumber, and fishing.
Construction of the new plant commenced in the fall of 1913, and by 1914, the Manitoba Rolling Mills and its subsidiary, Manitoba Nut and Bolt, were officially established in Selkirk. This marked the dawn of a new industrial era for the town, a shift towards heavy manufacturing that would define its character for decades to come. The outbreak of World War I in the same year presented immediate challenges with manpower and material shortages but also created new demands for steel products for the war effort. The mill supplied reinforcing bars, bolts, and tie rods for the construction of Commonwealth Air Training Scheme bases across Canada and even manufactured billets for shell casings.
The interwar period brought its own set of trials, including financial hardships and the impact of the Great Depression, which led to temporary shutdowns and reduced operations. However, the mill persevered, adapting to changing market demands and contributing to the local economy as it recovered. World War II again spurred production, with the mill supplying significant amounts of steel for shipbuilding on the West Coast.
The post-war era saw periods of expansion and modernization. In 1951, a significant $1 million expansion created jobs for an additional 100 workers. The 1960s brought fierce competition in the steel industry, leading to layoffs and a significant 92-day strike in 1960. However, the mill rebounded, securing contracts for steel needed for the Grand Rapids hydroelectric project. Multi-million dollar modernization efforts throughout the 1960s and 1970s introduced new technologies like electric furnaces and computer-linked control systems, improving efficiency and production capacity.
Throughout these formative years, the Manitoba Rolling Mills became deeply intertwined with the fabric of Selkirk. It provided stable employment for hundreds of men, often spanning multiple generations of families. The mill's significance was even reflected in the local junior hockey team being named the Selkirk Steelers, a nod to the town's "Steel Capital" identity. The mill's success and longevity prompted a significant change in 1988 when Mandak Metal Processors acquired the Manitoba Rolling Mills. Garry Leach, the former manager at Mandak, became President and General Manager, introducing the production of specialized steel products.
The Gerdau Era: Global Vision, Local Impact (1995-Present)
A pivotal moment in the mill's history arrived on June 1, 1995, when the Brazilian steel giant, Gerdau, acquired the Manitoba Rolling Mills. Gerdau, a leading global producer of long steel and one of the largest recyclers in the Americas, brought a new scale and perspective to the Selkirk operation. This acquisition, affecting nearly 600 employees at the time, proved to be a strategic move that secured the mill's future within a larger, international framework.
Under Gerdau's management, the Selkirk mill underwent further modernization and a renewed focus on sustainability. Gerdau recognized the value of the existing infrastructure and the skilled workforce in Selkirk, integrating it into its North American network. While specific details of management changes immediately following the takeover are not readily available in public records, the overarching direction under Gerdau was towards enhanced efficiency, environmental responsibility, and leveraging the mill's capacity for recycled steel production.
One of the significant shifts under Gerdau's stewardship has been the mill's evolution into a leading recycler of scrap metal. The Selkirk facility now processes over 400,000 tons of scrap annually, transforming old automobiles, railcars, and bridges into new steel products. This focus on recycling aligns with Gerdau's global commitment to sustainable practices and positions the Selkirk mill as one of the "greenest" steel mills in the Americas, producing steel with some of the lowest embodied carbon levels worldwide. The use of electric arc furnace (EAF) technology further reduces carbon emissions compared to traditional steelmaking processes.
Gerdau's management fostered strong community connections in Selkirk. The company became the city's largest employer, supporting hundreds of direct and indirect jobs through its operations and related businesses. Gerdau actively participates in local initiatives, sponsoring meal programs, supporting the high school welding program, and assisting the Selkirk Fire Department. This embeddedness in the community highlights a long-term commitment beyond mere economic activity.
The integration into Gerdau's global network also provided the Selkirk mill with access to broader markets and resources. The mill produces steel for various applications, including grader blades for heavy equipment manufactured by other Selkirk-based companies, showcasing the interconnectedness of the local industrial ecosystem. Furthermore, the Selkirk mill plays a crucial role in the elevator industry, supplying steel components to top global producers.
Navigating the Tariff Terrain: Challenges and Resilience
In recent years, the global steel industry has been significantly impacted by shifting trade policies and the imposition of tariffs. The Selkirk mill, as part of a North American and global steel producer, has had to navigate these complex and often volatile situations.
Notably, during the Trump administration in the United States, tariffs on steel and aluminum imports were imposed, citing national security concerns. These tariffs, initially set at 25% for steel and 10% for aluminum, created significant uncertainty and disruption in the North American steel market. While Canada and Mexico eventually secured exemptions under the USMCA (United States-Mexico-Canada Agreement) for USMCA-compliant products, the initial imposition and the potential for their reinstatement created challenges for steel producers like Gerdau in Selkirk.
The tariffs led to increased costs for some manufacturers relying on imported steel and aluminum, while potentially benefiting domestic producers in the short term. However, the retaliatory tariffs imposed by Canada on US goods also created headwinds for various sectors. Selkirk Mayor Larry Johannson described the back-and-forth of tariff threats as "ludicrous," highlighting the negative impact of such uncertainty on the local economy.
More recently, in February 2025, President Trump again signed executive orders imposing a 25% tariff on all steel and aluminum imports, without exceptions for Canada and Mexico initially. While USMCA-compliant trade offered some relief, the broader implications for integrated North American supply chains and the potential for retaliatory measures loomed large.
Gerdau, as a company with production units in both the United States and Canada, found itself in a complex position. While tariffs could potentially improve profitability in its US operations by reducing foreign competition, they could also disrupt cross-border supply chains and negatively impact its Canadian facilities, including the Selkirk mill, particularly if Canadian manufacturers faced higher input costs or reduced access to the US market due to retaliatory tariffs.
The response from Canadian authorities and industry stakeholders has been one of concern and a commitment to advocating for fair trade. The potential for retaliatory tariffs by Canada, as seen in the past, remains a significant factor that could further complicate the situation. The long-term effects of these tariffs on the Gerdau mill in Selkirk will depend on the duration and scope of the tariffs, the responses of the Canadian government, and the ability of the mill to adapt its supply chains and markets.
Despite the challenges posed by the tariff situation, the Gerdau mill in Selkirk has demonstrated resilience. Its focus on recycling provides a degree of insulation from some raw material price fluctuations. Its integration into Gerdau's larger network offers flexibility in resource allocation and market access. Moreover, its deep roots in the Selkirk community and its reputation as a reliable employer provide a strong foundation for navigating economic uncertainties.
A Legacy Forged in Steel, Adapting to the Future
The Gerdau steel mill in Selkirk, Manitoba, stands as a testament to the enduring power of industry and community. From its inception as Manitoba Rolling Mills in the early 20th century, driven by local ambition and the demands of a nation at war, it has evolved through periods of growth, hardship, and transformation. The acquisition by Gerdau in 1995 marked a new chapter, bringing global expertise and a renewed focus on sustainability to the Selkirk operation.
Today, the mill remains a vital economic engine for Selkirk, a symbol of its industrial heritage, and a significant player in the North American steel market. While the ever-changing landscape of international trade and tariffs presents ongoing challenges, the mill's long history of adaptation, its commitment to sustainable practices, and its deep integration within the Selkirk community suggest a strong capacity to weather future storms. The flame of steel production, ignited over a century ago in Selkirk, continues to burn brightly, forging not just metal, but also a legacy of resilience and community spirit.
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