Three Key Facts:
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- The U.S. Department of Energy has awarded Cleveland-Cliffs’ Butler Works steel plant $75 million to upgrade its production technology, saving nearly 1,300 union jobs and preserving America’s only producer of high-silicon electrical steel.
- The funding, part of the Inflation Reduction Act, will be used to install electric induction furnaces to meet new emissions standards, replacing outdated natural gas technology and significantly reducing the plant’s carbon pollution.
- This modernization will secure the plant’s future and provide long-term stability for the United Auto Workers members who work there. , highlighting the combined power of federal support and union advocacy to protect local jobs.
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In a landmark agreement to cut carbon pollution and protect American jobs, the U.S. Department of Energy has awarded a $75 million grant to Cleveland-Cliffs’ Butler Works steel plant in Lyndora, Butler County – America’s last remaining producer of high-silicon electrical steel. The investment will enable the plant to electrify its production process, meeting new federal emissions standards while preserving nearly 1,300 union jobs and positioning the company to expand its operations.
High-silicon grain-oriented electrical steel (GOES) is a critical component for electricity transformers. The investment, made possible by the Biden-Harris administration’s Inflation Reduction Act, will be used to install electric induction furnaces and replace outdated natural gas technology.
Rising costs and newly proposed environmental standards had put the Butler Works plant at risk of closing. However, a combination of union advocacy and federal investment ensured that the plant, which is more than a hundred years old, remained operational.
Securing Local Jobs and the Future of U.S. Manufacturing
For the 1,300 employees at Butler Works, members of United Auto Workers Local 3303, the funding means job security, a stable future and a growing market.
Pennsylvania Governor Josh Shapiro praised these efforts crediting UAW leadership with amplifying the voices of workers. “This is a story about power, the power of all of you and the work you did,” he said. The investment stands as a testament to how federal dollars and union advocacy can create positive outcomes for local communities.
Environmental and Economic Benefits
The clean energy upgrades at Butler Works are expected to reduce carbon pollution by more than 85 million metric tons – the equivalent of taking 18 million cars off the road for a year. Investments made through the Inflation Reduction Act (IRA) are expected to save Americans and American businesses over $14 billion in energy costs over thirty years.
