New Delhi, Sept. 29 -- India's Essar Group is making an $18 billion bet on the US steel industry, with its subsidiary Mesabi Metallics planning a large steel plant in Iowa linked to an iron-ore mine in Minnesota.

The project was announced by US President Donald Trump on Monday. The Iowa facility is expected to produce up to 10 million tonnes of steel annually once fully operational, while the broader project is expected to create thousands of jobs. Production is expected to begin around 2030.

But why is an Indian conglomerate putting billions of dollars into US steel production? Trump's 50% tariffs on imported steel are a key part of the answer offered by the administration and Essar executives.

The investment is structured around a fu...