California’s First Steel Mill In 50 Years Breaks Ground In Kern County

California’s first steel mill in 50 years broke ground in the Kern County town of Mojave in March, with the plant set to open by 2027.

The Mojave Micro Mill, to be located north of Lancaster and to the west of Edwards Air Force Base, is to be a green plant powered by an array of solar panels surrounding the mill buildings, putting overall emissions at a minimum. Pacific Steel Group, the owners, have said that it will involve remanufacturing scrap steel into “green” steel rebar for construction and other projects. To be constructed at a cost of $540 million, the mill is expected to create nearly 700 jobs.

At the groundbreaking ceremony, state, county and company officials noted the significance of a new steel mill finally being built in California following many decades after the last closure. They also noted the need for new jobs in the county, as well as the new rebar being needed in the state for continuing infrastructure projects and the rebuilding of parts of L.A. County following the devastating wildfires in January.

“With this facility, PSG is investing over 600 million dollars right here in Kern County, creating over 400 permanent jobs,” said Kern County Supervisor Chris Parlier. “Once the mill is fully operational, these are going to be high-quality jobs, the kinds that support families, build communities, create recreational opportunities, generational opportunities for the people of Kern.”

“The steel that we produce at this mill will be 85% to 90% cleaner than any rebar produced anywhere else in the world,” added Pacific Steel CEO Eric Benson.

Governor Gavin Newsom also weighed in, tying in the plant with his California Jobs First Economic Blueprint project and pointing out that the plant received a $30 million tax credit from the state to help build the plant.

“Projects like the Mojave Micro Mill show how we can grow our regional economies while simultaneously taking action on climate and improving public health – all key pillars of California Jobs First,” said Newsom. “In California, we are doubling down on innovative technologies to create jobs and ensure our roads, bridges and hospitals are built with cleaner materials made right here in California.”

However, those in the steel industry said that a new California plant was inevitable, as the state was showing a greater need for more localized steel in recent years.

“California has needed this sort of thing for years,” explained former steel industry consultant Thomas Gardner to the Globe on Friday. “The steel industry has had quite a history in California, probably capped off in 1983 when the Kaiser steel plant in Fontana closed. I mean, that one survived longer than a lot of the Great Lakes and Northeastern plants, but still.

“California will have a huge need for steel coming. They always have, but having even a small mill produce steel will really help on transportation costs. There is never not a need for rebar, especially with so much construction and rebuilding poised to happen in the state in the coming years.

“Both Republicans and Democrats agreed on the need for the plant, so that should give you some picture of the need for it. It’s a needed project in a place that needs jobs that also has a growing amount of scrap metal. Works out for everyone.

“Politically? Everyone is going to claim this as a win. At elections coming up, look for the plant as a positive point for everyone even remotely involved, Governor on down. Not many projects like this get you a win like this. So for everyone there, especially in Kern County, 2026 and 2028 will be full of lines like ‘And I helped bring the first steel plant to California over 50 years right here in Kern County’ or something like that. That’s coming there for sure.”