Cost of California's First New Steel Mill in Over 50 Years Rises to About $700 Million: Mojave Micro Mill on Schedule for August 2027, About 700 Jobs
In Mojave, in California's Kern County, Pacific Steel Group confirmed this month that its Mojave Micro Mill remains on schedule, although the projected cost has risen from about $540 million to approximately $700 million. The 174-acre plant is California's first new steel mill in more than 50 years, is scheduled to begin commercial operations in late August 2027, and is expected to support approximately 700 jobs.
The Governor's Office, describing the project, said: 'This project will bring steel manufacturing back to the Golden State and localize the supply chain, supporting a transition to clean, in-state manufacturing of materials essential for public infrastructure like roads, bridges and hospitals.' The mill's 500,000-square-foot main building will use an electric arc furnace to melt recycled scrap from vehicles, appliances, construction, and other steel sources, and will be the only steel plant in California that both melts and rolls steel products, producing seismic-grade rebar. About 63 acres of the site will be dedicated to on-site renewable energy, alongside carbon-capture technology and high-efficiency filtration systems.
State and local incentives include a $30 million California Competes tax credit awarded in 2024 in exchange for commitments to invest more than $540 million and create nearly 450 jobs in the mill's first five years, a $14 million state energy-storage grant, and a Kern County property-tax refund agreement approved unanimously by the Board of Supervisors in September that could deliver more than $3 million over six years, tied to about 450 new local jobs at roughly $7,500 per qualifying job. Mark Olson, Pacific Steel's vice president of mill operations, said the facility will demonstrate that large-scale industrial manufacturing can thrive in California. Governor Newsom highlighted the project in his January 2026 State of the State address as an example of new manufacturing investment supported by California's economic-development programs.
(Based on the Governor's Office project materials and Pacific Steel Group's public statements)
Published by GSM · USA (original Chinese edition)
Photo: 钢铁厂资料图。图：经开放授权图库。 / File photo: a steel mill. Via an open-license library.
