Mesabi Metallics is to build a $15 billion steel plant in Iowa, Donald Trump has announced, in a project the White House says would be the largest of its kind in US history.
The Minnesota-based company expects the plant to begin operating in 2030, producing at least 7.5 million tons of steel a year and creating 1,750 permanent jobs, according to the administration.
“Today, we’re thrilled to announce that Mesabi Metallics will be building the largest steel plant in American history in the great state of Iowa,” Mr Trump said at the White House.
The announcement was made in the Oval Office alongside Mesabi executives, Commerce Secretary Howard Lutnick, Export-Import Bank chairman John Jovanovic and Republican members of Congress from Iowa.
US steel plant plans
Mesabi has not disclosed the precise location of the facility. Energy Secretary Chris Wright said it would be in south-eastern Iowa, while a White House official described it as the first mega steel plant built in the US since the 1960s.
The iron ore required for production is expected to come from Mesabi Metallics’ new $2.5 billion mine in Minnesota. The administration said steel from the plant could eventually support US defence projects.
White House spokeswoman Taylor Rogers said the project would support local communities, strengthen supply chains and increase investment in American industry.
“President Trump is delivering on his promise to rebuild American industry, re-shore manufacturing, and create new jobs,” she said.
The project is the latest effort by the Trump administration to expand domestic steel production amid overseas competition. Last year, the president doubled tariffs on imported steel to 50%, with steel duties also forming part of an ongoing trade dispute between the US and Canada.
The announcement comes fewer than 40 days before the midterm elections, as Iowa Republicans face competitive contests for the US House, Senate and governor’s office. Republicans currently hold the governorship and both Senate seats.
State lawmakers in Iowa have been told they may need to return to the statehouse to approve tax breaks for Mesabi, according to reports cited in the source material.
