Home Labour RelationsUnion urges governments to adopt rules favouring domestic production after closure of Hamilton biofuel plant

Union urges governments to adopt rules favouring domestic production after closure of Hamilton biofuel plant

by HR News Canada Staff
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Unifor is calling on provincial and federal governments to act quickly after Biox Corporation announced it would shut down its Hamilton biodiesel plant, which has not produced fuel in over a year.

The closure affects members of Unifor Local 593, who were issued termination notices on July 24. The facility was built in 2007 using public and private funding, including federal grants and university research support.

“This is just the latest example of a failure to secure Canada’s domestic energy supply,” said Unifor National President Lana Payne. “The provincial and federal governments must work in tandem to connect our energy industry to industrial strategies and grow good jobs here in Canada.”

Foreign subsidies blamed for market collapse

Unifor says the shutdown is the result of long-term planning failures and the impact of foreign subsidies on biodiesel. Ontario, it noted, exports feedstock to the United States where it is refined and then sold back to Canada—often at prices Canadian producers cannot match.

“A glut of imported biodiesel has hurt Ontario producers,” the union said in a statement.

To protect what remains of the domestic industry, Unifor is urging Ontario to follow British Columbia’s lead. That province mandates a minimum amount of locally produced content in its biodiesel supply.

“Ontario’s biodiesel crisis is just the latest example of an energy sector lacking vision to serve Canadian consumers and industries,” said Unifor Ontario Regional Director Samia Hashi. “Stronger domestic energy supply chains must be at the centre of any ‘Elbows Up’ strategy.”

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