President Trump Announces Essar-backed Mesabi Metallics’ $18 Billion Investment

Key Highlights from the Announcement

• $18 Billion Investment: President Donald J. Trump announced Essar-backed Mesabi Metallics’ landmark $18 billion investment – comprising $15 billion for a new Iowa steel complex and $3 billion already invested in its Minnesota iron ore mine.
• Historic U.S. Steel Project: The Iowa facility represents the largest single-location investment in an integrated steel complex in U.S. history, creating a fully domestic mine-to-mill supply chain.
• Jobs & Economic Impact: The project will generate 8,000+ construction jobs, 1,750+ permanent jobs, and deliver $95 billion in economic output during construction and the first decade of operations.
• Strengthening India–U.S. Ties: The investment reinforces India–U.S. trade and investment relations, while deploying advanced Direct Reduced Iron (DRI) and Electric Arc Furnace (EAF) technologies to produce 100% American steel.

Washington, D.C., September 29, 2026: US President Donald J. Trump today announced at the White House that Essar-backed Mesabi Metallics will invest $18 billion to build a fully integrated American steel company. The project unites Mesabi Metallics’ iron ore mine on Minnesota’s Mesabi Iron Range with a new steel complex in Iowa.

This represents the largest single investment in a steel complex in U.S. history, strengthening trade and investment ties between India and the U.S.

The announcement was made in the presence of:

• Ravi Ruia, Vice Chairman & Founder, Essar Group
• Rewant Ruia, Chairman, Mesabi Metallics
• Howard Lutnick, U.S. Commerce Secretary
• Chris Wright, U.S. Energy Secretary
• John Jovanovic, Chairman, U.S. Export-Import Bank
• Kim Reynolds, Governor of Iowa
• Senator Joni Ernst
• Representatives Mariannette Miller-Meeks and Ashley Hinson

Watch the announcement: White House YouTube link

Investment Breakdown

• $15 billion: Integrated Iowa steel complex
• $3 billion: Minnesota iron ore mine and pelletizing facility
• 8,000 construction jobs in Iowa
• 1,750 full-time jobs once operational
• 200+ employees already at Minnesota mine, expected to reach 350 full-time jobs

The project will establish a 100% American steel supply chain, with iron ore mined, steel melted, and finished products poured in the U.S.

Ravi Ruia, Essar Group, said: “This investment marks a new chapter in Essar’s global journey and carries forward the vision of my brother, Shashi Ruia. It reflects Prime Minister Narendra Modi’s vision for a stronger India-U.S. economic partnership.”

Rewant Ruia, Mesabi Metallics, added: “We are building a fully integrated steel business from the ground up, connecting Minnesota’s iron ore resources with steelmaking in Iowa to produce 100% American steel. This investment will create thousands of jobs and strengthen domestic steelmaking capacity.”

Minnesota Mine

• First new iron ore mine in the U.S. in 50 years
• Nearly $3 billion invested to date
• Located in Nashwauk, Minnesota
• Produces Patriot Pellet, a DR-grade iron ore pellet engineered for modern electric arc furnace steelmaking
• Designed to be one of the highest-quality iron ore pellets globally
• More than 1,500 construction workers on site

Iowa Steel Complex

• $15 billion investment
• Creates 8,000 construction jobs and 1,750 full-time jobs
• Expected to generate $95 billion in total economic output during construction and first 10 years of operations
• Utilizes local vendors to support regional job growth

Innovation & Sustainability
The Iowa facility will be one of the most efficient and environmentally friendly steel complexes in the world, using:

• Hot Direct-Reduced Iron (DRI): Converts Minnesota iron ore into solid metallic iron at lower temperatures, reducing energy use.
• Electric Arc Furnace (EAF): Combines hot DRI with scrap steel, lowering emissions compared to coal-fired blast furnaces.

This integrated process will deliver high-quality, sustainable, cost-effective American steel.

Reshaping American Steelmaking
U.S. steelmakers traditionally rely on:

• Blast furnace mills using domestic iron ore
• Electric arc furnaces (EAFs) recycling scrap and imported iron

Mesabi Metallics combines both strengths by pairing domestic iron ore from Minnesota with a modern EAF steelmaking complex in Iowa, creating a fully domestic, sustainable, high-quality steel product.

About Mesabi Metallics Company LLC
An Essar Group company, Mesabi Metallics is developing a DR-grade iron ore mine and pellet plant in Nashwauk, Minnesota. Upon completion, it will represent $2.5 billion of investment and become the first new iron ore mine and pellet plant in Minnesota in nearly 50 years.

Mesabi Metallics will produce some of the highest-grade DR pellets in the world, supporting America’s steel industry, infrastructure buildout, shipbuilding, defense base, and manufacturing resurgence.

About Essar Group
Essar is a global conglomerate with over five decades of entrepreneurial experience, operating across Energy, Infrastructure, Metals & Mining, Technology & Retail.

• Investments exceeding US$30 billion
• Annual revenues of US$18 billion
• Employs 7,000+ people worldwide

Essar is now focused on future-ready ecosystems, investing in hydrogen, biofuels, renewables, LNG, EV mobility solutions, and large-scale data centre infrastructure.