President Donald Trump touted a $15 billion (£11 billion) steel plant as the largest in US history on Monday, then appeared to nod off in the Oval Office as its chairman spoke amid praise for the long-delayed project, weeks before Iowa's midterm races.
Trump tied the plant to his trade agenda, saying companies are building in the US to avoid tariffs. The $15 billion (£11.33 billion) plant and a $2.5 billion (£1.89 billion) Minnesota mine together represent nearly $18 billion (£13 billion) in investment, while the White House put the ten-year economic impact near $95 billion (£70 billion). The Iowa plant has yet to break ground, while the Minnesota mine is already starting operations.
The announcement came as Republicans campaign hard in a state with several competitive midterm races. Trump billed the unfinished project as the 'largest steel plant in American history'. Yet the plant will not pour steel until 2030, and the firm behind it, Mesabi Metallics, belongs to India's Essar Group.
100% American, Owned From India
Mesabi Metallics said the plant would deliver steel 'mined, melted and poured in Minnesota and Iowa', and Trump promised metal made 'right here in the USA'. The White House described it as the country's first large integrated 'mega-steel' plant since the 1960s, able to make steel for military use.
Yet the firm sits under Essar Group, the Indian conglomerate run by the Ruia family, and its chairman Rewant Ruia and board member Prashant Ruia both joined the president. Essar's earlier Minnesota venture filed for bankruptcy in 2016 before the project emerged as Mesabi Metallics under new ownership, with Essar later regaining control.
Permanent Jobs Are Targeted for 2030
The White House says the project will create 1,750 permanent jobs in Iowa and up to 6,000 construction jobs, with a new $2.5 billion Minnesota iron-ore mine adding 350 more. Local reports place the mill in Lee County in south-eastern Iowa, though the company has not confirmed the site.
The first phase alone is meant to produce 7.5 million tons of steel a year, rising to 10 million once complete. The permanent roles depend on production Mesabi does not expect before 2030, fed by a mine that took roughly two decades to reach output. For Iowa voters weeks from choosing a senator and a governor, the payoff sits years beyond the ballot.
A President Appears To Struggle To Stay Awake
As chairman Rewant Ruia thanked him during the event, Trump appeared to close his eyes, his head tilting toward the executive and his eyelids fluttering, according to widely shared online footage. Outlets described Trump as appearing to doze rather than confirming he had fallen asleep.
The Export-Import Bank, the federal government's export credit agency, approved a $770 million (£570 million) direct loan for Mesabi's mine on 24 September and has separately backed up to $10 billion (£7.4 billion) in financing for its Minnesota expansion.
Republican Senate candidate Ashley Hinson called the plant 'a game-changing investment', and Iowa's Republican nominee for governor, Zach Lahn, welcomed it too. Whether Iowa sees the promised return, and when, will be tested long after voters have made their choice. The project's benefits will not be measured before Election Day.
