us Business

Trump Announces $15 Billion Steel Mill in Iowa

By David Thornton Columbus, OH · IOWA —

Published 4 min read

President Donald Trump announced a plan for Mesabi Metallics to build a $15 billion steel mill in Iowa. The Export-Import Bank will provide up to $10 billion in financing for the project.

IOWA — President Donald Trump announced a plan for Mesabi Metallics to build a $15 billion steel mill in Iowa. The Export-Import Bank will issue up to $10 billion in financing for the company's expansion. "Everyone’s building their plant here because they don’t want to pay tariffs," Donald Trump said.

"Using advanced steelmaking technology, the plant will produce some of the highest quality, most affordable steel anywhere in the world," Trump said. "They have one of the worst governors in history, a real stupid guy, but they do have good iron ore, which is more important, I guess," he said.

"This steel will be mined, melted and made right here in the USA, which is something very unusual," he said. "It’s the first new iron ore mine in the United States in more than 50 years."

White House spokeswoman Taylor Rogers said the president is delivering on his promise to rebuild American industry. "President Trump is delivering on his promise to rebuild American industry, reshore manufacturing, and create new jobs," she said.

Iowa Senate Democratic Leader Janice Weiner said there are no details regarding any potential incentive package offered to the company. "We have no details regarding any potential incentive package that may be offered to this foreign company – nor any guarantees for Iowa workers," Weiner said. She added that officials do not know whether transparency measures will be included or how the deal will impact landowners.

Mesabi Metallics is owned by the India-based Essar Group. The Minnesota mine was previously part of Essar Steel Minnesota, which filed for bankruptcy in 2016. Trump approved the takeover of U.S. Steel by Japan's Nippon Steel in June 2025.

Why It Matters

The announcement comes weeks ahead of the 2026 midterm elections. Democrats are challenging for the Iowa governorship after 16 years of uninterrupted Republican control of the state’s top office. Polls show all five congressional races in Iowa are competitive. Democrat Rob Sand is favored to win the Iowa governorship. Republican Ashley Hinson is running for the Senate seat being vacated by Joni Ernst. A Marist survey found Hinson trailing Democrat Josh Turek by eight points. An Emerson College poll had Hinson narrowly ahead but found voters worried about tariffs. A Trafalgar Group poll showed Hinson with a two-point lead. An InsiderAdvantage poll found Turek leading by two points.

Minnesota Governor Tim Walz issued an order in August halting permitting for mining projects near the Boundary Waters wilderness. The relocation of the next step in the steelmaking process to Iowa has drawn criticism from some Minnesota lawmakers, who cited concerns about the state's regulatory environment for manufacturing and mining. The Wall Street Journal was the first to report on the new facility.

Timeline

In 2016, Essar Steel Minnesota filed for bankruptcy. In June 2025, Trump approved the takeover of U.S. Steel by Japan's Nippon Steel. In early 2026, the Supreme Court struck down many of the tariffs Trump imposed but left duties in place on imported steel and aluminum.

Construction of the Iowa plant is expected to start in September 2026. In September 2026, steel trade groups credited Trump's steel tariffs with driving $47 billion in announced and underway investment. On September 28, 2026, President Donald Trump announced the Mesabi Metallics project.

What's New

Iowa Governor Kim Reynolds said, "I want to thank President Trump for his commitment to bringing steel manufacturing back to America, and Mesabi Metallics for choosing Iowa as its partner and future home." He said about Minnesota Governor Tim Walz, "They have one of the worst governors in history, a real stupid guy, but they do have good iron ore, which is more important, I guess." President Donald Trump imposed 50% tariffs on steel imports in 2026, which were cited as a key factor in the development of the Mesabi Metallics steel plant in Iowa. White House spokeswoman Taylor Rogers said, "President Trump is delivering on his promise to rebuild American industry, reshore manufacturing, and create new jobs." Rogers also said the announcement highlights the president's efforts to revitalize the U.S. steel industry, support local communities, strengthen supply chains, and protect national security. She further stated, "After decades of decline, this president is restoring America’s industrial competitiveness and securing trillions of dollars in new investment." Company officials stated that most critical materials would come from the U.S., though some might need to be imported for refining. The project is expected to bring more than 1,700 permanent jobs to Lee County.

How Sources Differ

Regarding the role of President Donald Trump, he said, "Soon after my inauguration, I imposed powerful 50% tariffs on all foreign steel, and now our steel industry is roaring back to life." Regarding President Donald Trump's actions, he said, "Soon after my inauguration, I imposed powerful 50% tariffs on all foreign steel, and now our steel industry is roaring back to life." Regarding the announcement itself, he said, "Soon after my inauguration, I imposed powerful 50% tariffs on all foreign steel, and now our steel industry is roaring back to life." Regarding Mesabi Metallics, Reynolds said, "I want to thank President Trump for his commitment to bringing steel manufacturing back to America, and Mesabi Metallics for choosing Iowa as its partner and future home." Regarding domestic production, he said, "This steel will be mined, melted and made right here in the USA, which is something very unusual." Regarding tariffs, he said, "Everyone’s building their plant here because they don’t want to pay tariffs." Regarding steel quality, he said, "Using advanced steelmaking technology, the plant will produce some of the highest quality, most affordable steel anywhere in the world."

fact_check Facts

President Donald Trump announced a plan for Mesabi Metallics to build a $15 billion steel mill in Iowa.
The steel plant is planned for eastern Iowa, specifically in Lee County.
Mesabi Metallics is constructing the steel plant.
Mesabi Metallics is owned by the India-based Essar Group.
The White House described the facility as the largest steel plant in U.S. history.
The plant aims to begin production in 2030.
The facility is expected to produce an initial 7.5 million tons of steel per year, ramping up to 10 million tons annually.
The primary source states the facility is expected to produce 10 million tons of steel a year.
The project is expected to create 1,750 permanent jobs in Iowa.
Rep. Mariannette Miller-Meeks' office stated the permanent jobs are expected to pay more than $49 an hour.
The project is expected to support 5,000 to 6,000 construction jobs.
Construction is expected to start in September 2026.
The first phase of the project is expected to generate $95 billion in total economic impact over construction and the first 10 years of operation.
The plant will use iron ore from a new mine Mesabi Metallics built in Minnesota.
Mesabi Metallics invested $2.5 billion to build the iron ore mine in Minnesota.
The Minnesota mine is expected to produce about 7.5 million tons of iron per year.
The Minnesota mine is expected to create about 350 jobs.
Minnesota Public Radio reported that the Minnesota mine project has created 200 full-time jobs out of an anticipated 350 total.
Donald Trump, President of the United States
President Donald Trump said, "This steel will be mined, melted and made right here in the USA, which is something very unusual."
Donald Trump, President of the United States
President Donald Trump said, "It’s the first new iron ore mine in the United States in more than 50 years."
Donald Trump, President of the United States
President Donald Trump said, "Soon after my inauguration, I imposed powerful 50% tariffs on all foreign steel, and now our steel industry is roaring back to life."
Donald Trump, President of the United States
President Donald Trump said, "Everyone’s building their plant here because they don’t want to pay tariffs."
Donald Trump, President of the United States
President Donald Trump said about Minnesota Governor Tim Walz, "They have one of the worst governors in history, a real stupid guy, but they do have good iron ore, which is more important, I guess."
Taylor Rogers, White House Spokeswoman
White House spokeswoman Taylor Rogers said, "President Trump is delivering on his promise to rebuild American industry, reshore manufacturing, and create new jobs."
Taylor Rogers, White House Spokeswoman
White House spokeswoman Taylor Rogers said, "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."
Taylor Rogers, White House Spokeswoman
White House spokeswoman Taylor Rogers said, "After decades of decline, this president is restoring America’s industrial competitiveness and securing trillions of dollars in new investment."
Kim Reynolds, Governor of Iowa
Iowa Governor Kim Reynolds said, "I want to thank President Trump for his commitment to bringing steel manufacturing back to America, and Mesabi Metallics for choosing Iowa as its partner and future home."
Kim Reynolds, Governor of Iowa
Iowa Governor Kim Reynolds said, "This is a transformational opportunity for our country, our state, and American families—one that strengthens national security, creates thousands of high-paying jobs, and provides a reliable supply of high-quality, American-made steel for strategic goods and everyday products."
Mariannette Miller-Meeks, U.S. Representative
Rep. Mariannette Miller-Meeks said, "For too long, Iowa families have watched their jobs shipped overseas and their communities hollowed out. Not anymore."
Mariannette Miller-Meeks, U.S. Representative
Rep. Mariannette Miller-Meeks said, "The largest steel plant in America is coming to Lee County with more than 1,700 permanent, good-paying jobs."
Mariannette Miller-Meeks, U.S. Representative
Rep. Mariannette Miller-Meeks said, "I'm proud to have helped make this historic investment a reality. There's no better place than Iowa to make things IN America, BY Americans."
Janice Weiner, Iowa Senate Democratic Leader
Iowa Senate Democratic Leader Janice Weiner said, "We have no details regarding any potential incentive package that may be offered to this foreign company – nor any guarantees for Iowa workers."
Janice Weiner, Iowa Senate Democratic Leader
Iowa Senate Democratic Leader Janice Weiner said, "We don’t know whether transparency and accountability measures will be included to safeguard Iowans and the local communities, whether Iowa’s skilled union laborers will be prioritized, how any potential deal will impact landowners, or why haste is necessary."
Janice Weiner, Iowa Senate Democratic Leader
Iowa Senate Democratic Leader Janice Weiner said, "Until we know what kind of deal is on the table, we won’t be able to determine whether this project is indeed in taxpayers’ best interests."
Rewant Ruia, Chairman of Mesabi Metallics
Mesabi Metallics Chairman Rewant Ruia said most of the critical materials would come from the U.S. but added there are some materials that might be used that need to be imported for making and refining the highest quality steels.
Howard Lutnick, US Commerce Secretary
US Commerce Secretary Howard Lutnick said, "These are your 232 tariffs, the steel tariffs at work. Without those tariffs, this mine does not get built, and this steel plant does not get built."
Commerce Secretary Howard Lutnick attended the announcement in the Oval Office.
Mesabi Metallics CEO Joe Broking attended the announcement in the Oval Office.
Export-Import Bank Chairman John Jovanovic attended the announcement in the Oval Office.
Mesabi Metallics Chairman Rewant Ruia attended the announcement in the Oval Office.
Iowa Governor Kim Reynolds attended the announcement in the Oval Office.
Senator Joni Ernst attended the announcement in the Oval Office.
Representative Ashley Hinson attended the announcement in the Oval Office.
Representative Mariannette Miller-Meeks attended the announcement in the Oval Office.
Iowa Attorney General Brenna Bird attended the announcement in the Oval Office.
National Energy Dominance Council Executive Director Jarrod Agen attended the announcement in the Oval Office.
National Security Council senior director for Global Supply Chain David Copley attended the announcement in the Oval Office.
The Export-Import Bank will issue up to $10 billion in financing for Mesabi Metallics’ expansion.
The plant will be capable of supporting defense sector requirements for high-grade steel.
Spencer Igo, Representative
Rep. Spencer Igo said the move to Iowa for the next step in the steelmaking process should frustrate everyone who cares about the future of northern Minnesota.
Rob Farnsworth, Senator
Sen. Rob Farnsworth said, "This announcement comes as no surprise to those of us who have seen firsthand just how hard Minnesota government makes manufacturing and mining."

menu_bookBackground & Sources

Context and data our newsroom added to the originating report, with the primary source for each item shown below it.

The mine is located in Minnesota’s Mesabi Iron Range.
The Mesabi Iron Range stretches 80 to 100 miles.
The Mesabi Iron Range contributed about 60% of total iron ore production in the U.S. during the 20th century.
The U.S. levies a 50% tariff on most steel imports.
The Supreme Court struck down many of the tariffs Trump imposed earlier in 2026 but left duties in place on imported steel and aluminum.
Steel industry groups urged Trump in a letter last week to stand firm against efforts to weaken the tariffs.
Steel industry groups warned that weakening the tariffs now would put progress at risk, threatening American jobs and the economic and national security benefits the policy was designed to protect.
Steel trade groups credited Trump's steel tariffs with driving $47 billion in announced and underway investment.
The Wall Street Journal was the first to report on the new facility.
Democrats are challenging for the Iowa governorship after 16 years of uninterrupted Republican control of the state’s top office.
Polls show all five congressional races in Iowa are competitive.
Democrat Rob Sand is favored to win the Iowa governorship.
Republican Ashley Hinson is running for the Senate seat being vacated by Joni Ernst.
A Marist survey found Hinson trailing Democrat Josh Turek by eight points.
An Emerson College poll had Hinson narrowly ahead but found voters worried about tariffs.
A Trafalgar Group poll showed Hinson with a two-point lead.
An InsiderAdvantage poll found Turek leading by two points.
Minnesota Governor Tim Walz issued an order in August halting permitting for mining projects near the Boundary Waters wilderness.
Essar Steel Minnesota filed for bankruptcy in 2016.
Trump approved the takeover of U.S. Steel by Japan's Nippon Steel in June 2025.
The U.S. government received a golden share in U.S. Steel as part of the Nippon Steel deal.
Minnesota Public Radio reported that the Mesabi Metallics mine in Minnesota has created 200 full-time jobs out of an anticipated 350 total, as of September 2026.
Source: whitehouse.gov
The Export-Import Bank of the United States approved up to $10 billion in financing for the expansion of Mesabi Metallics’ Minnesota mine, as announced in an agency release on September 28, 2026.
The White House stated that the project would generate $95 billion in total economic impact over the first 10 years of operation, based on a projection from the Iowa Economic Development Authority.
Minnesota Public Radio reported that Mesabi Metallics has already hired 200 full-time workers at the Minnesota mine, out of a planned 350, as of September 2026.
Source: whitehouse.gov
Iowa Governor Kim Reynolds supported the project, calling it a 'transformational opportunity for our country, our state, and American families.'
Source: whitehouse.gov
President Donald Trump imposed 50% tariffs on steel imports in 2026, which were cited as a key factor in the development of the Mesabi Metallics steel plant in Iowa.
The US Export-Import Bank announced it would finance $10 billion for the expansion of Mesabi Metallics' Minnesota mine, according to a report from Reuters.
The Mesabi Metallics mine in Minnesota, which will supply iron ore to the Iowa steel plant, was previously part of Essar Steel Minnesota, which filed for bankruptcy in 2016.
Source: whitehouse.gov
In 2016, Essar Steel Minnesota, the parent company of Mesabi Metallics, filed for bankruptcy, leading to delays in the development of the Minnesota iron ore mine that will supply the Iowa steel plant.
Source: whitehouse.gov
The White House official stated that the planned steel plant aims to begin production in 2030 and would create an estimated 1,750 full-time jobs.
Mesabi Metallics Chairman Rewant Ruia stated that some materials needed for high-quality steel production may need to be imported, despite the company’s emphasis on using American resources.
Source: whitehouse.gov

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