WEIRTON — Cleveland-Cliffs Inc. announced Wednesday it will no longer move forward with plans to build a $150 million electrical distribution transformer production facility in Weirton, dealing another economic blow to West Virginia’s Northern Panhandle.
The project, which was expected to create 600 jobs, was announced in July 2024 after the West Virginia Economic Development Authority (WVEDA) awarded the company a $50 million forgivable loan to support the initiative. The facility was to be developed at the site of a long-standing steel plant that had been converted to tinplate production before being idled in February 2024, costing approximately 900 jobs.
The cancellation follows a first-quarter loss of $483 million for Cleveland-Cliffs, the largest flat-rolled steel producer in North America. The company also said it would partially or fully idle five other facilities.
The loss marks another setback for the WVEDA, which has faced scrutiny over the effectiveness of its taxpayer-funded investments. At the time of the deal, Kris Warner led the agency as executive director. Warner now serves as West Virginia’s Secretary of State. Larry Pack, who was chair of the WVEDA during the agreement, was elected state treasurer in 2024 after previously serving as revenue secretary.
State officials have not yet commented on the economic or political implications of the project’s cancellation.
