HUNTINGTON, W.Va. (WCHS) — A longtime steel plant in Huntington said about 100 jobs will be lost as it readjusts its operations for the long term with a $30 million investment.

Steel of West Virginia said it will be permanently idling its 1950s-era melt shop, “which has reached the end of its life cycle,” a news release said. The company said it currently employs more than 600 people and with the planned facility changes being made, expect to keep about 500 of those jobs.

The news comes amid what the company is calling a multi-year investment campaign of about $30 million to improve the productivity and quality of its two rolling mills in Huntington.

“By optimizing our rolling mill operations and using readily available domestic steel billets, we believe we will be positioned to achieve a sustainable profit profile that supports continued operations, meets customer demand, and supports meaningful manufacturing jobs,” Steel of West Virginia General Manager Michael Winarta said in the news release. “To mitigate the impact on our team, we plan to work with the bargaining unit and our existing staff to appropriately align expertise and staffing levels with the needs of our remaining operations.”

The company said the current U.S. trade policy coupled with onshoring momentum has created a strong demand outlook for much of its product line.

Steel of West Virginia produces a broad range of specialty steel products and frequently performs fabrication and finishing operations.