WASHINGTON (dpa-AFX) - President Donald Trump has announced plans to build one of the largest steel plants in American history - a $15 billion Mesabi Metallics mill in Iowa.
The mill will produce 7.5 million tons of steel per year in its first phase, rising to about ten million tons, using iron ore from Mesabi Metallics' newly opened Minnesota mine - the first new iron ore mine in the United States in 50 years.
The project will create 1,750 permanent Iowa jobs, support up to 6,000 construction jobs, and is projected to add $95 billion to the U.S. economy over the next decade, according to the White House.
Mesabi, owned by India's Essar Group, said it will invest $15 billion to build the Iowa facility, in addition to the $3 billion being spent to complete the iron ore mine in Minnesota.
The project - the largest single investment in a steel complex in U.S. history - will deliver 100 percent American steel, mined, melted and poured in Minnesota and Iowa.
'This is a major moment for U.S. made steel, combining the highest quality direct-reduction grade iron ore pellet from Minnesota's Iron Range with the most advanced DRI to EAF steelmaking technology in Iowa to supply the high-quality, all-American steel that our national defense, cars and trucks, shipbuilding, household appliances, energy, and infrastructure depend on,' said Joe Broking, Chief Executive Officer for Mesabi Metallics.
'Mesabi is building a world-class steel supply chain that is 100% American. Our investment will create high-paying jobs with competitive benefits in Iowa and Minnesota, generate tens of billions of dollars in U.S. economic activity, and strengthen our domestic manufacturing base,' Broking added.
'I'm thrilled to welcome Mesabi Metallics to Iowa and partner with their team to forge the future of American steel manufacturing,' said Iowa Governor Kim Reynolds.
'Together, we will produce a reliable supply of high-quality, American-made steel that strengthens the nation's industrial base, reduces our dependence on foreign supply chains, and supports economic resilience in our state and across the region.'
Located in Nashwauk, Minnesota, the mine will produce Patriot Pellet, the company's direct-reduction-grade (DR-grade) iron ore pellet engineered for modern electric arc furnace steelmaking - one of the highest-quality iron ore pellets made anywhere in the world. More than 1,500 construction workers are on site today, alongside more than 200 full-time employees already working at the mine, building towards 350 full-time jobs once fully operational, according to the company owned by India's Essar Group.
That iron ore - and the Patriot Pellet made from it - will feed directly into the Iowa steel complex, the next link in a fully domestic, mine-to-mill supply chain.
In 2025, the U.S. surpassed Japan in crude steel production for the first time since 1999 and became the world's third-largest steel producer. Raw steel output is up 9 percent since President Donald Trump returned to office, the White House says.
American mills now supply 84 percent of the U.S. finished steel market, up from 77 percent in 2024, it added.
Steel imports are falling as tariffs, permitting reforms, and energy dominance bring production home.
New mill orders hit a record $17.3 billion in July; domestic shipments hit a record $16.9 billion that same month.
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