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Trump Unveils $15 Billion Iowa Steel Plant, Largest in US History
ReTrump Unveils $15 Billion Iowa Steel Plant, Largest in US History
President Trump announced a $15 billion steel plant in Iowa, expected to create 1,750 permanent jobs and produce 10 million tons of steel annually, with production starting in 2030.
President Donald Trump announced plans on Monday for a $15 billion steel plant in Iowa that the White House says will be the largest in American history. The facility, to be built by Mesabi Metallics, promises to bring 1,750 permanent jobs to the state and create between 5,000 and 6,000 construction jobs during its first phase.
Trump is expected to make the announcement from the Oval Office at 2 p.m. alongside executives from Mesabi Metallics, according to a White House official. The company plans to use iron ore from its newly constructed mine in Minnesota to produce steel in Iowa, creating a fully domestic supply chain. The plant is projected to produce 7.5 million tons of steel annually in its first phase, eventually ramping up to 10 million tons per year. At that scale, it would be the largest steel plant ever built in the United States and would account for roughly one-tenth of the entire U.S. steel industry's output last year.
The project represents a significant expansion of American steelmaking capacity, but it comes with a long timeline. Mesabi does not expect the Iowa facility to produce its first steel until 2030. The Minnesota mining operation, which traces back nearly two decades, faced years of financing problems and missed deadlines before Essar Steel Minnesota filed for Chapter 11 bankruptcy in 2016. It later emerged as Mesabi Metallics, and Essar eventually regained control. Mesabi has begun mining and commissioning work at the Minnesota site, though commercial pellet production has not yet begun. A recent SEC filing indicates initial DR-grade pellet production is targeted for the fourth quarter of 2026, followed by an eight- to 12-month ramp-up.
The White House is emphasizing the national security implications of the Iowa plant, which will be capable of producing high-grade steel for defense-sector requirements. The administration says the project will strengthen domestic supply chains for materials used by the military and critical infrastructure. «President Trump is delivering on his promise to rebuild American industry, reshore manufacturing, and create new jobs,» White House spokeswoman Taylor Rogers said. «Today's announcement underscores the President's historic efforts to revitalize the U.S. steel industry—supporting local communities, strengthening supply chains, and protecting our national security.»
The announcement comes as Trump points to tariffs as a tool for encouraging domestic manufacturing. He doubled tariffs on steel and aluminum imports to 50% last year, arguing that protecting domestic producers from cheaper foreign competition would rebuild an industry critical to the economy and national security. However, the policy has also increased costs for companies that consume steel. Federal data cited by S&P Global showed prices for iron and steel rose 10.4% between April 2025 and April 2026, while the steel mill products index climbed 13.3%, even as domestic steel production increased.
Unlike many newer U.S. steel facilities, which are smaller electric arc furnace plants, the Iowa project will be a large-scale integrated steel facility. The White House says it will be the first new «mega-steel» plant built in the United States since the 1960s. The first phase of the steel plant and the Minnesota mine together represent nearly $18 billion in investment, according to the administration. The White House estimates the first phase will generate approximately $95 billion in economic activity during construction and the plant's first decade of operation.
Trump is expected to be joined at Monday's announcement by Commerce Secretary Howard Lutnick, National Energy Dominance Council Executive Director Jarrod Agen, and Export-Import Bank Chairman John Jovanovic, along with Mesabi Metallics Chairman Rewant Ruia, board member Prashant Ruia, and CEO Joe Broking. The Minnesota operation will ultimately produce 7.5 million tons annually and create roughly 350 permanent jobs, according to the White House.
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