Metals & Mining, Ferrous
September 28, 2026
Trump announces $15B Mesabi steel plant plans in Iowa
By Kip Keen
Editor:
HIGHLIGHTS
Mesabi builds 10M short ton/year steel facility
Plant creates 6,000 jobs, adds $90B value
50% tariffs drive domestic manufacturing growth
Mesabi Metallics will build a $15 billion steel plant in Iowa, the largest of its kind in the US, President Trump announced Sept. 28.
The facility will produce 7.5 million short tons of steel in its first year, ramping up to 10 million st/year, and it will rely on iron ore from a mine Mesabi developed in Minnesota.
Trump credited 50% tariffs on steel imports for driving growth in the sector.
"Everyone's building their plants here because they don't want to pay tariffs," Trump said at a White House event.
Still, steel-dependent manufacturers must also pay more for many imported steel products because of the tax. The Platts-assessed TSI US HRC EXW Indiana price reached $1,240/short ton, up 34.8% from the start of the year.
The Mesabi plan is finalized, Commerce Secretary Howard Lutnick said at the event.
Earlier this year, Mesabi secured a $520 million senior secured credit facility with Valor Mining Credit Partners, II, managed by Breakwall Capital in partnership with Vitol.
The announcement comes as part of a broader push by the Trump administration to bolster manufacturing in the US, often using import duties to try to achieve that goal.
