Charlotte, North Carolina-based Nucor Corp. has announced that its board of directors has approved the construction of a rebar “micromill,” with spooling capabilities, to be located in an as yet undesignated location in the South Atlantic region of the United States.
This will be Nucor's third rebar micro mill, joining its existing micromills in Missouri and Florida, both of which began operations in 2020. The budgeted capital expenditure for the new mill is $350 million, and it will be designed to have an annual capacity of 430,000 tons.
The U.S. Census Bureau defines its South Atlantic region as consisting of Delaware, Maryland, Virginia, West Virginia, North Carolina, South Carolina, Georgia, Florida and the District of Columbia. Narrower definitions of the region can reduce it to refer to the Carolinas, Georgia, Virginia and (in some cases) Florida.
“We have recently executed two successful rebar micro mill startups and believe the East Coast market will be in need of additional rebar supply in the coming years, particularly with the recent passage of the infrastructure spending bill,” says Leon Topalian, president and CEO of Nucor.
“Rebar has been a core business for Nucor since we got into steelmaking, and this project will enable us to maintain our leadership position in the rebar market,” he adds.
Rebar is commonly made from melted ferrous scrap and is used primarily in the construction of roads, buildings, sidewalks and other structures. The rebar market, says Nucor, is expected to show continued strength
Nucor says its current steel bar production capacity is estimated at approximately 9.5 million tons per year, although not all of that is rebar. The company, which has enjoyed profitable conditions in 2021, describes itself as North America’s largest recycler.