Washington — President Trump on Monday announced that the company Mesabi Metallics will build a $15 billion steel plant in Iowa over the coming years, in what would be the largest of its kind in U.S. history.
“There’s a company known as Mesabi,” the president said in the Oval Office. “And they’re going to make a big investment in a place called Iowa. I love Iowa. I won Iowa every time. Today, we’re thrilled to announce that Mesabi Metallics will be building the largest steel plant in American history in the great state of Iowa.”
The president and the Minnesota-based Mesabi Metallics unveiled the company’s plans for what the White House is calling a mega steel plant, alongside Mesabi executives and Republican representatives from Iowa who face tough races in November.
Once it’s up and running in 2030, the plant is expected to produce 7.5 million or more tons of steel per year. A White House official said the plant is expected to create 1,750 permanent jobs in Iowa.
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Secretary of Commerce Howard Lutnick and Export-Import Bank Chairman John Jovanovic joined Mesabi executives and Republican members of Congress in the Oval Office for the announcement.
Plans for the new plant are the Trump administration’s latest move to boost domestic steel manufacturing in the face of overseas competition, a centerpiece of the president’s trade agenda. Last year, he doubled tariffs on imported steel to 50%, and steel levies have been part of the ongoing trade dispute between the U.S. and Canada.
Mesabi has not announced where in Iowa the steel plant will be, but Energy Secretary Chris Wright mentioned that it would be in the southeast part of the state. A White House official said this will be the first mega steel plant built in the U.S. since the 1960s. The Trump administration expects the steel could support U.S. defense projects in the future.
The iron ore for the plant — iron ore is a primary raw material for making steel — will come from Mesabi Metallics’ new $2.5 billion iron ore mine in Minnesota.
The Wall Street Journal was first to report the president’s anticipated announcement of the new steel plant.
“President Trump is delivering on his promise to rebuild American industry, re-shore manufacturing, and create new jobs,” said White House spokeswoman Taylor Rogers. “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. After decades of decline, this president is restoring America’s industrial competitiveness and securing trillions of dollars in new investment.”
The announcement comes less than 40 days before the midterms, with Iowa Republicans facing competitive races for the U.S. House, Senate and governor’s mansion. Republicans, who now have the governor’s mansion and both Senate seats, are trying to fend off Democrats from changing that.
In Iowa, the Des Moines Register reported state lawmakers are being alerted they may need to return to the statehouse to approve tax breaks for Mesabi. CBS News has reached out to top members of the Iowa statehouse for comment.
