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President Donald Trump is expected to announce plans Monday for a $15 billion Iowa steel plant. The White House says the proposed Mesabi Metallics facility would become the largest steel plant in U.S. history.
The project would connect a new Minnesota iron ore operation with steel production in Iowa. Steelmaking could begin in 2030, according to administration officials.
$15 Billion Iowa Steel Plant Could Create Thousands of Jobs
Mesabi Metallics plans to build the facility with an initial annual production capacity of 7.5 million tons. Later expansions could increase production to approximately 10 million tons per year.
The White House described that projected capacity as the largest for a single American steel plant.
The Iowa facility could create at least 1,750 permanent jobs. Its first construction phase would also support between 5,000 and 6,000 temporary jobs, according to Reuters.
The project’s exact Iowa location had not been announced Monday morning. Trump and Mesabi executives were expected to provide additional information during a 2 p.m. Eastern event at the White House.
Minnesota Iron Ore Would Supply Iowa Facility
Mesabi Metallics operates a new iron ore mine and pellet plant in Nashwauk, Minnesota. The company is part of the Essar Group and has invested more than $2.5 billion in that operation.
The Minnesota site is beginning its startup process. Mesabi describes it as the first new iron ore mine to open in the United States in more than 50 years.
Under the proposed system, Minnesota ore would be processed into high-grade pellets. Those materials would then supply the Iowa steel plant.
Mesabi said the connected facilities would produce steel that is mined, processed and poured in the United States. The company expects the steel to serve manufacturing, infrastructure, transportation, shipbuilding and defense customers.
Federal Financing Could Support Expansion
The Export-Import Bank of the United States has announced support for up to $10 billion in potential financing for Mesabi’s Minnesota expansion.
According to the federal agency, the operation could strengthen domestic supply chains and reduce dependence on imported steelmaking materials.
The financing remains subject to the agency’s approval process and other conditions. Full financial details for the Iowa mill had not been publicly released before the White House announcement.
Mesabi has also secured private financing for its Minnesota project, including funding from Breakwall Capital and Macquarie Group.
Trump Highlights Domestic Manufacturing
The Trump administration is presenting the proposed plant as evidence that its trade and manufacturing policies are attracting large industrial investments.
“President Trump is delivering on his promise to rebuild American industry, reshore manufacturing, and create new jobs,” White House spokeswoman Taylor Rogers said.
Trump has used tariffs on imported steel and aluminum to encourage domestic production. However, tariffs can also increase material costs for companies that manufacture vehicles, appliances and construction equipment.
The announcement also comes ahead of the November midterm elections, when economic conditions and manufacturing employment are expected to remain major campaign issues.
The $15 billion Iowa steel plant remains a proposal, with production targeted for 2030. Its final scale will depend on financing, permits, construction and market demand. If completed as described, the project would add significant capacity to the domestic steel industry and create thousands of Midwestern jobs.