Cleveland-Cliffs Inc. announced that it will establish a new electrical distribution transformer production plant in Weirton, West Virginia. This downstream direct investment by Cleveland-Cliffs in Weirton will address the critical shortage of distribution transformers that is stifling economic growth across the United States.
The announcement will highlight Cleveland-Cliffs’ investment to repurpose its Half Moon Warehouse in Weirton to commence production of three-phase distribution transformers used in electric power distribution systems. The total capital investment is $150 million, of which $50 million (or one third) will be granted by the state of West Virginia to Cliffs through a forgivable loan.
The efficiency standards for distribution transformers recently promulgated by the U.S. Department of Energy support the long-term utilization of highly efficient American-made Grain Oriented Electrical Steel (GOES), ensuring the viability of this investment in Weirton.
Courtesy of Cleveland-Cliffs.