US President Donald Trump has announced plans for a $15 billion steel plant in eastern Iowa, a project that the White House says would become the largest steel plant ever built in the United States.
The facility will be developed by Mesabi Metallics, a Minnesota-based company owned by India’s Essar Group. Trump announced the project at the White House on September 28, describing it as a major investment in American steel production and manufacturing.
The plant is expected to begin steel production in 2030. Its first phase is planned to produce about 7.5 million tons of steel annually, with the capacity eventually expected to increase to approximately 10 million tons a year.
According to the White House, the project is expected to create at least 1,750 permanent jobs in Iowa and support as many as 6,000 construction jobs during the development phase. The administration estimates that the first phase could generate about $95 billion in economic activity over construction and the first decade of operations.
The project is designed as an integrated steelmaking operation. Mesabi Metallics plans to use iron ore from its new mine in Minnesota, connecting mining and steel production within the United States. The Minnesota mine represents an investment of around $2.5 billion and is expected to produce about 7.5 million tons of iron ore annually.
The planned Iowa facility would be built in Lee County in southeastern Iowa, with access to the Mississippi River helping the company transport iron ore from Minnesota. The steelmaking operation is expected to use electric arc furnaces along with recycled scrap steel.
The project is also connected to a broader financing effort surrounding Mesabi Metallics’ Minnesota operations. The US Export-Import Bank has committed up to $10 billion in financing for the company’s expansion, according to Reuters.
The announcement comes as steel and manufacturing remain central elements of Trump’s economic policy. His administration has used tariffs on imported steel as part of its strategy to encourage domestic production. Trump has argued that higher trade barriers can encourage companies to invest in US manufacturing.
The White House has also said the Iowa facility could produce high-grade steel for defence-related applications and other strategic industries. Supporters of the project have highlighted its potential to strengthen domestic supply chains for steel and other industrial materials.
For Essar Group, the project represents a major expansion of its US operations. The Indian conglomerate has been involved in the Minnesota iron ore project for years, and the proposed Iowa mill would connect that mine with a large-scale steelmaking operation.
If the project reaches its planned full capacity of 10 million tons a year, it would represent a significant increase in US steelmaking capacity. Production is currently scheduled to begin in 2030, with construction and development expected to continue over the coming years.
