Trump Announces $18 Billion Essar-Backed Steel Project in Iowa and Minnesota

President Donald Trump announced an $18 billion investment by Essar-backed Mesabi Metallics to build a fully integrated American steel company. The project combines a $3 billion iron ore mine and pelletizing facility in Nashwauk, Minnesota, with a proposed $15 billion steel complex in Iowa. The White House described the Iowa plant as the largest single-location investment in an integrated steel complex in U.S. history.

The Minnesota mine, which recently opened as the first new U.S. iron ore mine in 50 years, is expected to produce 7.5 million tonnes of direct-reduction-grade pellets annually. These pellets will feed the Iowa mill, creating a domestic "mine-to-mill" supply chain. Production at the Iowa complex is targeted to begin by 2030.

“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.”

Essar Group Vice Chairman Ravi Ruia and Mesabi Metallics Chairman Rewant Ruia attended the White House event alongside Commerce Secretary Howard Lutnick, Energy Secretary Chris Wright, and Iowa Governor Kim Reynolds. Ruia linked the investment to Prime Minister Narendra Modi's vision for stronger India-U.S. economic ties.

Estimates for job creation and output vary across official statements. The White House and company cite at least 1,750 operational jobs and roughly 10 million tonnes of annual steel capacity. Other remarks referenced up to 6,000 construction jobs, 2,000 production and mining roles, and $95 billion in economic impact over a decade.