DOE invests $500M in Cleveland-Cliffs to boost US steelmaking, jobs

WASHINGTON— In a significant development for the steel industry, the U.S. Department of Energy (DOE) has unveiled a $500 million award to back a $1 billion investment at the Cleveland-Cliffs’ Middletown Works facility located in Middletown, Ohio. This announcement was made during a visit by Vice President JD Vance and U.S. Energy Secretary Chris Wright to the facility, underscoring the Trump Administration's dedication to bolstering American manufacturing and supporting steelworkers.

This financial injection is designed to rejuvenate the American steelmaking landscape, safeguard 2,300 jobs, and fortify the domestic steel supply network. It aligns with President Trump's initiatives to prioritize American labor, reinvest in U.S. communities, and strengthen industries that are fundamental to the country's economic and national security.

Initially, Cleveland-Cliffs found the original project plan unfeasible due to customer resistance to paying a higher price for environmentally friendly steel. Collaborating with the DOE, they formulated a feasible alternative to enhance the efficiency of the existing coal-fired blast furnace while utilizing the co-product blast furnace gas (BFG) for commercial purposes.

“President Trump is rebuilding America’s industrial base,” stated Secretary Wright. “This investment puts American workers and American manufacturing first. It will modernize one of our nation’s critical steelmaking facilities, protect thousands of jobs, and strengthen our domestic steel production—keeping Ohio at the heart of American manufacturing and strengthening our national security.”

The project will focus on updating the plant's main coal-fired ironmaking furnace, employing AI for optimization and energy efficiency, and constructing an on-site facility to convert process gases from the steel mill into electricity. Further investments will aim at transforming industrial byproducts into materials suitable for concrete, which will be used in local infrastructure projects.

“This landmark investment at Middletown Works will secure a reliable domestic supply of high-purity steel while protecting thousands of quality jobs in Ohio,” said Assistant Secretary of Energy Audrey Robertson. “DOE is proud to partner with Cleveland-Cliffs to reduce America’s dependence on foreign products and position key domestic industries—including automotive, HVAC, appliance, and steel-distribution industries—for long-term competitiveness.”

Cleveland-Cliffs stands as the largest flat-rolled steel producer in the country, with Middletown Works being a pivotal component of the nation's industrial framework. The facility provides steel essential to various American manufacturing sectors such as automotive, HVAC, appliance, and steel distribution, thus reinforcing a vital domestic supply chain and decreasing reliance on foreign imports. The DOE's investment ensures that Middletown Works will continue to produce U.S.-made steel and sustain high-quality manufacturing jobs for the foreseeable future.

Construction on the Middletown Works project is slated to commence in the upcoming weeks.

###