President Donald Trump on Monday announced Mesabi Metallics’ plan to invest about $15 billion to build a steel plant in Iowa, which the White House described as the largest plant of its kind in US history. The planned facility is expected to begin production in 2030. It is estimated to create up to 6,000 construction jobs and at least 1,750 permanent jobs, according to a White House official.
Mesabi Metallics, based in Nashwauk, Minnesota, said the project will deliver “100% American steel: mined, melted and poured in Minnesota and Iowa.” The company’s chairman, Rewant Ruia, spoke alongside Trump at the White House event.
Iowa Steel Plant To Use Minnesota Iron Ore
The steel plant will use iron ore from Mesabi Metallics’ mine on Minnesota’s Iron Range. The more than $2.5 billion mining project has just begun production after roughly two decades of development and has faced controversies and setbacks, including Essar Steel Minnesota filing for bankruptcy in 2016.
The first phase of the Iowa plant is estimated to produce about 7.5 million tons of steel annually. The facility is eventually expected to ramp up to 10 million tons per year and support at least 1,750 permanent jobs.
The Minnesota mine project has reportedly created 200 full-time jobs out of an anticipated 350 total, according to Minnesota Public Radio.
Trump was joined in the Oval Office by Mesabi Metallics CEO Joe Broking and Chairman Rewant Ruia, Commerce Secretary Howard Lutnick and Export-Import Bank Chairman John Jovanovic. Other attendees included White House National Energy Dominance Council Executive Director Jarrod Agen and National Security Council senior director for Global Supply Chain David Copley.
Trump imposed 25% tariffs on steel and aluminum imports near the start of his second term and later doubled them to 50%. Steel trade groups recently credited the tariffs with driving $47 billion in announced and underway investment and urged Trump to keep them in place.
Critics have argued that the tariffs have contributed to higher U.S. steel prices. White House spokeswoman Taylor Rogers said the announcement reflects Trump’s efforts to rebuild American industry, reshore manufacturing, create jobs and strengthen U.S. supply chains.