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Union Pacific Railroad has signed a seven-year rail supply agreement with Rocky Mountain Steel Mills, reinforcing its focus on sourcing most of its steel rail requirements from US manufacturers. The deal strengthens a partnership that dates back to the 1890s and also settles all pending legal disputes between the two companies.
The agreement comes as Rocky Mountain Steel prepares to launch a new long rail mill in Pueblo, Colorado, backed by an investment of more than $1 billion. The facility is expected to produce 100-meter premium rails, which can cut welds by up to 80% compared with traditional rail lengths, improving network efficiency, safety, and reliability.
Rocky Mountain Steel says the plant will be powered by a dedicated 1,800-acre solar farm, positioning it as the world’s largest solar-powered steel mill. The move also highlights growing momentum around domestic steel production, sustainable manufacturing, and rail infrastructure investment in the US market.For the steel and railway sectors, this partnership signals stronger demand visibility, support for American manufacturing, and a long-term push toward advanced, low-emission rail production.
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