I know steampunk is a subgenre of fantasy lit, but I’m looking for something like Middle Earth meets steampunk. The dwarves and goblins of World of Warcraft are a good example. So is the Engineer class in Torchlight II. Any books like this?
Go to the original steampunk authors: Tim Powers (The Anubis Gates), Esther Friesner ((Druid’s Blood)
Retribution Falls and the rest of the Tales of the Ketty Jay books might be what you’re looking for.
Dru Pagliassotti’s Clockwork Heart is pretty nifty. Sequel is coming out soon - Iron Wind.
You could also try the Powder Mage series.
China Mieville springs to mind. All the Baz Lag novels fit into this genre in a way and Iron Council is exactly this.
YMMV about Mieville’s world view and downer endings though.
See “Literature” at TVTropes on Magitek, itself named from Final Fantasy VI.