U.S. Steel, the U.S. subsidiary of Nippon Steel, announced that it is expanding its investment in Pennsylvania over the next three years. The investment is expected to have an economic impact of $1.7 billion on the state.
The company plans to construct a state-of-the-art Hot Strip Mill at the Mon Valley Works Edgar Thomson Plant in Braddock, Pennsylvania, to replace an 87-year-old hot strip mill at the Irvin Plant.
“The Mon Valley Works is where the American steel industry was first forged, and this investment is proof that its best days are still ahead,” said David B. Burritt, President and CEO of U.S. Steel. “This investment means thousands of good-paying jobs protected, a world-class facility, and steel that will supply American automakers and manufacturers for generations. This is what investing in America looks like.”
The development comes as Nippon Steel and U.S. Steel finalized their “historic partnership” last year.
The partnership will “protect and create more than 100,000 jobs through unprecedented massive investments in steelmaking in the United States that will be unleashed across U. S. Steel’s footprints, including in Pennsylvania, Indiana, Arkansas, Minnesota, and Alabama,” the companies said in a joint statement at the time, and will ensure that “U.S. Steel will retain its iconic name and headquarters in Pittsburgh, Pennsylvania, and that it will continue to be Mined, Melted, and Made in America for generations to come.”
Nippon Steel’s CEO, Eiji Hashimoto, thanked Trump for his “historic and visionary decision.”
Under the deal, Nippon Steel will make an estimated $11 billion in new investments in U.S. Steel by 2028.
