Citing the results of an economic impact analysis conducted by Parker Strategy Group, U. S. Steel said the US$1 billion Mon Valley investment from would-be parent Nippon Steel Corp., is significant for Pennsylvania as a whole, but for southwestern Pennsylvania in particular. 

U. S. Steel said the study predicts that if 40% of the investment is spent in Pennsylvania, it would create nearly 2,500 jobs and generate US$476.4 million in total economic impact over a two-year period. If 80% of the project costs are spent in the state, the impact increases to 4,864 jobs and US$952.9 million total impact over a two-year period.

The study is based on an underlying assumption of US$600 million in construction costs and US$400 million in equipment costs, with US$600 million of the US$1 billion investment being spent in Pennsylvania. 

“Not only will this deal secure U. S. Steel’s Pennsylvania footprint — an economic boon benefiting communities and employees — the Nippon Steel investment in Mon Valley Works facilities would cause a positive ripple effect across the Pennsylvania economy,” said U. S. Steel president and chief executive officer David B. Burritt. 

“While the economic impact is undeniable, what is most heartening is the consequential economic and generational impact this investment will have on the families and communities of the Mon Valley,” he added.