Pacific Steel Begins Construction on California’s First Steel Mill in 50 Years

Pacific Steel has officially started construction on the 500,000-square-foot Mojave Micro Mill in Mojave, California. The project marks a historic moment as the first steel mill built in the state in over five decades, reinforcing California’s commitment to domestic manufacturing, sustainability, and economic growth.
The new micro mill represents a $540 million investment and is expected to create nearly 700 jobs, ranging from electricians and welders to millwrights and automation specialists. Additionally, Pacific Steel is collaborating with local educational institutions, such as California State University, Bakersfield, and Antelope Valley Community College, to develop workforce training programs for students pursuing careers in steel manufacturing.
A Model for Sustainable Steel Production
Designed to be a leader in clean steel manufacturing, the Mojave Micro Mill will incorporate advanced carbon capture technology and high-efficiency filtration systems to minimize emissions. Out of the 174-acre site, 63 acres will be dedicated to renewable energy, aligning with California’s carbon-neutral objectives.
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The mill is set to play a critical role in localizing the steel supply chain, producing materials for roads, bridges, hospitals, and other key infrastructure projects. By reducing reliance on steel imports, the facility aims to enhance supply chain resilience and cut transportation-related emissions.
State Support and Industry Impact
The project has received a $30 million California Competes tax credit, with Pacific Steel committing to invest $540 million and create nearly 450 jobs within the first five years. This initiative aligns with California’s broader push to expand domestic manufacturing and green industrial production.
Governor Gavin Newsom praised the project, stating:
“Projects like the Mojave Micro Mill show how we can grow our regional economies while simultaneously taking action on climate and improving public health – all key pillars of California Jobs First. In California, we are doubling down on innovative technologies to create jobs and ensure our roads, bridges, and hospitals are built with cleaner materials made right here in California.”
California’s Manufacturing Boom
Pacific Steel’s investment comes amid a wave of manufacturing expansions across California, signaling a resurgence in industrial production and infrastructure development:
- Siemens is investing $95 million to expand a low-voltage electrical products manufacturing facility, increasing production for industrial, commercial, and construction sectors.
- ZM Trucks plans to open its first U.S. automotive manufacturing plant, a 210,000-square-foot zero-emission vehicle facility.
- Bosch secured $225 million to manufacture silicon carbide power semiconductors, boosting production capacity and creating 700 new jobs.
These projects reflect a broader trend of American manufacturers investing in domestic production, strengthening supply chains, and advancing clean energy initiatives.
Investing in U.S. Manufacturing in 2025
A surge in domestic manufacturing investments is reshaping industrial landscapes nationwide. With new production facilities and plant expansions, states like California are emerging as key hubs for advanced manufacturing, sustainability, and workforce development.
Originally reported by Alexis Gajewski in Plant Services.
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