From Momentum to Ambition

Having successfully modernized its operations, Wabi Iron & Steel was ready to think bigger. The company’s Foundry division, already responsible for the majority of its revenue, held untapped potential.

With global supply chains under strain and domestic demand outpacing local production capacity, Wabi saw an opportunity: to become a leading, high-capacity foundry serving not just northern Ontario, but markets across Canada.

A Market Gap Too Big to Ignore

Market research revealed a critical gap, Canadian foundry capacity could only meet about half of domestic demand, creating heavy reliance on international suppliers. At the same time, customers were increasingly seeking reliable, local partners to reduce risk and lead times.

For Wabi, the opportunity was clear but capturing it would require a transformative investment.

Scaling Challenges in a Competitive Landscape

• Capacity Ceiling: Production was capped at approximately 600 tons per year, far below what the market was demanding and what Wabi was able to achieve.
• Cost Competitiveness Gap: Outdated processes drove up the average cost per ton, putting Wabi at a disadvantage against more efficient global competitors.
• The Transformation Imperative: Meeting market demand required a full-scale overhaul of the Foundry division; new technologies, redesigned workflows, and significant workforce expansion, all requiring substantial investment and coordination.

The challenge was no longer just modernization; it was scaling up to meet the future of the industry.

A Transformational Investment Takes Shape

Once again, NOHFC stepped in as a catalyst for growth. Through the Invest North Program – Grow, Wabi secured $3,250,000 in funding to support a transformative Foundry Division Upgrade Project, slated for completion by 2028.

The project will include:

• Installation of advanced molding lines and casting finishing systems
• Upgrades to the core shop, sand reclamation system, and melt deck
• Enhanced automation and streamlined processes throughout the facility

This investment represents a bold step forward, positioning Wabi as a modern, high-capacity manufacturing leader.

Powering the Future of Northern Manufacturing

The projected outcomes signal a new era for Wabi and the region:

• 43 new full-time jobs, reinforcing Wabi’s status as a top regional employer
• Production capacity increase from 600 to 5,000 tons annually, a staggering 733% increase
• Cost per ton reduced from $9,700 to $5,600, a reduction of 42%, dramatically improving global competitiveness
• Expansion into new product lines, including mill liners and pig moulds
• Reduced reliance on offshore supply chains, strengthening domestic manufacturing resilience
• Improved cycle and lead times, enhancing customer responsiveness

Through their ongoing modernization, Wabi has become a top 10 employer in the Temiskaming Shores region, making them a key employer in the municipality.

Beyond Wabi itself, the project is expected to generate broader economic benefits, including supply chain opportunities for other northern Ontario businesses and increased regional economic activity across northern Ontario.