Idled Weirton tinplate mill to make electrical transformers
The Weirton Daily Times
WEIRTON, W.Va. – Five months after announcing it would be idling the tin mill operations in Weirton, Cleveland-Cliffs says it has plans the company hopes will bring a spark of hope back to the community.
In a morning release Monday, followed by an afternoon press conference featuring company, union and government officials, Cleveland-Cliffs announced its plans to establish an electrical distribution transformer production facility to a warehouse in the Half Moon Industrial Park.
The project includes the creation of approximately 600 jobs and an investment of $150 million.
Acknowledging there are no plans to produce tin in Weirton in the future, Cleveland-Cliffs Chairman, President and CEO Lourenco Goncalves explained much of the work to bring transformer production to the community has been taking place since a meeting in April at the company’s Butler Works in Pennsylvania with U.S. Secretary of Energy Jennifer Granholm, noting an existing shortage on transformer manufacturing in the United States.
“We’re short on transformers in this country right now. Look at Texas. One single storm and people are out of electricity,” Goncalves said.
Goncalves further noted the need to produce transformers and related equipment as a result of the rise of artificial intelligence, which, he said, will result in an increase in demand for electrical power.
“AI will increase the consumption of electricity in this country and around the world,” he said.
Part of the funding package will be through a $50 million incentive package, approved Monday morning by the West Virginia Economic Development Authority.
“That was one of the most emotional votes I’ve ever taken as a member of that board,” said state Treasurer Riley Moore, who pointed to his personal pride, as a result of his family’s Northern Panhandle roots, in the growth and opportunity being seen in Weirton.
Referring to the Book of Ecclesiastes, Moore said, with Monday’s announcement, “it is a time to build, a time to laugh and a time to dance here in Weirton.”
Moore commended Goncalves, as well as United Steelworkers Local 2911 President Mark Glyptis, who was unable to attend, for their work to bring the facility to Weirton, looking out for the needs of the community.
“It’s a match made in heaven, or, in this case, in ‘Almost Heaven, West Virginia,'” Moore said.
Gov. Jim Justice also made the trip from Charleston following the EDA meeting, offering thanks to Goncalves, saying, while there were difficulties as a result of foreign trade and decisions by the federal government, he continued his fight, reaching out to partners at the state to make it all happen.
“Too many American companies today would just move on,” Justice said. “We’ve pulled the rope together.”
The governor expressed his belief that Monday’s announcement could be only one step in continued development for the area.
“You have an incredible community. Today is an incredible day,” he said.
Mike Vitello, representing the USW 2911 read from remarks prepared by Glyptis, offering thanks to Cleveland-Cliffs and Goncalves for never giving up on the community, saying the transformers will be “made in America by American workers.”
The company has indicated steel for the transformers will be provided by the Butler (Pa.) Works facility. Vitello also offered thanks to U.S. Sen. Joe Manchin, I-W.Va., U.S. Sen. Shelley Moore Capito, R-W.Va., and U.S. Sen. Sherrod Brown, D-Ohio, all of whom sent representatives, for their continued support.
“As a result, good-paying steelworker jobs will be back where they belong, in the Ohio Valley,” Vitello said.
Del. Pat McGeehan, R-Hancock, also was on hand, offering words of encouragement and appreciation.
“It’s a new future for West Virginia,” he said.
(Howell can be contacted at chowell@weirtondailytimes.com)