MIDDLETOWN, Ohio — Cleveland-Cliffs announced Friday a $1 billion optimization project at its Middletown Works steel plant, supported by a rescoped $500 million U.S. Department of Energy award. Vice President JD Vance marked the announcement with a noontime speech at the facility in his hometown.
The total investment will be shared equally between Cleveland-Cliffs and the Department of Energy. The multi-year project is expected to begin in the coming weeks and be deployed over the next four years while steel production continues without interruption. Completion of the blast furnace rebuild is planned for the first quarter of 2030. The investment includes state-of-the-art upgrades to the blast furnace, advanced material handling infrastructure, and artificial intelligence-enabled process control technologies. A key component is construction of an advanced cogeneration facility that will capture and utilize blast furnace gas to generate electricity and steam for on-site use. Company officials said the upgrades will improve energy efficiency, reduce reliance on external power, lower operating costs, and boost operational reliability, productivity, and cost competitiveness. Middletown Works is Cleveland-Cliffs’ flagship plant for producing automotive-grade steels, particularly for exposed parts of cars, trucks, and SUVs. It currently produces approximately 3 million tons of raw steel annually. The project will preserve the facility’s steelmaking capacity and 2,300 jobs. At peak construction, more than 1,500 workers—including local union building trades—are expected to be employed. “Cleveland-Cliffs is making a decisive investment in the future of American steelmaking and manufacturing, going above and beyond a standard blast furnace reline, to include the most advanced technology available,” said Lourenco Goncalves, Cliffs’ Chairman and Chief Executive Officer. “Through our cooperation with President Trump’s Administration and the U.S. Department of Energy, we developed a project reliant on proven technology that improves operational efficiency and competitiveness. The DOE’s support for this project is a testament to the importance of preserving the blast furnace route to produce automotive-exposed grade steels in the U.S., while advancing American energy dominance. We thank President Trump, Vice President Vance, and Secretary Wright for their partnership. This investment strengthens domestic steelmaking, preserves 2,300 jobs and ensures that Middletown Works remains one of the premier steelmaking facilities in North America for decades to come.” Vance, joined by U.S. Secretary of Energy Christopher Wright and other federal and state elected leaders, delivered remarks highlighting the investment and the Trump Administration’s America First economic agenda. The plant holds personal significance for the vice president—his grandfather worked there for nearly 40 years when it was known as Armco Steel, a story Vance detailed in his memoir Hillbilly Elegy.
(Editor's Note: AI-Assisted Copy)
(Photo Courtesy: Cleveland-Cliff's Facebook)
