New Delhi, Oct. 9 -- With great fanfare, US President Donald Trump announced last week that "the largest steel plant ever built in the United States" would be coming to Lee County, Iowa, adding that [Essar Group-owned] Mesabi Metallics' $15 billion investment in a pivotal midterm swing state proved his "powerful 50% tariffs" were working. He's right: The announcement is a tangible result of American steel policy-but, contrary to what the president said, that's not a good thing.

Start with the project's real price tag. Thanks to tariffs and other trade restrictions, US steel prices are among the highest in the world: According to SteelBenchmarker, a metric tonne of hot-rolled steel costs $1,293 here-the highest since April 2022 and far ex...