Nucor, an American company producing steel and related products, has announced plans to build a modern, $1.35bn plate mill in the US Midwest.
The mill, which is expected to be fully operational in 2022, will have the capacity to produce 1.2m tonnes per year of steel plate products.
The project is expected to create 400 full-time jobs.
Nucor chairman, CEO and president John Ferriola said: “This investment is consistent with our drive to continue delivering sustainable, profitable growth and superior returns for shareholders.
“Together with the significant share repurchases completed in 2018, the Board’s decision to fund this high-return opportunity demonstrates our commitment to balanced capital allocation.
“We have a strong foundation to build upon as we advance our goal of leading in every market in which we compete.”
The new mill will manufacture cut-to-length, coiled, heat-treated, and discrete plate ranging from 60 to 160 inches wide and in gauges from 3/16 of an inch to 14 inches in thickness, which will enable the company to supply plate products that it does not currently offer.
Currently, Nucor operates plate mills in North Carolina, Alabama and Texas.
Nucor beam and plate products executive vice president Leon Topalian said: “By building this state-of-the-art plate mill in the Midwest – the largest plate-consuming area in the United States – we will enhance our ability to serve our customers in the region while also furthering our goal of meeting all the steel needs of our customers around the country.
“We expect to select a site for the new mill early this year. Our team is poised and ready to take the next step in advancing our position in steel plate products.”
Ferriola said: “This administration is taking the decisive and meaningful actions that American manufacturers need to compete on a level playing field.
“Tax reform, continued improvements to our regulatory approach and strong trade enforcement are giving businesses like ours the confidence to make long-term capital investments here in the U.S. that create jobs and ensure our success for decades to come.”
Nucor and its affiliates produce steel and steel products, with facilities primarily in the US and Canada.
Image: Nucor to build $1.35bn plate mill in US Midwest. Photo: Courtesy of Karan Bhatia on Unsplash.