Energy & Environment

Baytown Steel Plant To Expand Amid President’s Push For U.S. Steel

The plant makes pipe and other products for the oil and gas sector, among others.

A pipeline from Houston-based company Spectra Energy is seen during construction. Oil and gas companies say they rely heavily on imported steel.

An Indian steel company plans to pump $500 million into a manufacturing plant it owns in Baytown, Texas. Governor Greg Abbott said Monday the state will give the company a $3.4 million grant to jump start the expansion.

The plant, owned by JSW Group, makes pipe and other products for the oil and gas sector, among others.

The governor describes the deal as a win for the state, and for President Trump’s “America First” agenda.

“One thing that the administration in Washington is asking for, one thing we want to see in the state of Texas, is increased production of steel and steel-based products in the United States, and in the state of Texas, and that’s exactly what we got today,” Abbott said.

The expansion means 500 new steel jobs for Baytown, and a manufacturing boost of specialized products for drillers and pipeline companies. But those companies still rely mostly on imported steel and worry the president’s new steel tariffs will threaten energy jobs.

Abbott said the plant’s growth could ease “some” of those concerns, but energy trade groups still say their industry should be exempt from the tariffs.

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