Nucor Corporation (NYSE:NUE), Charlotte, North Carolina, a steel products manufacturer and SFIA member, announced that California Steel Industries, Inc. (CSI) will build a continuous galvanizing line at its mill in Fontana, California. The new galvanizing line will serve construction end markets in the western United States and is expected to have an annual capacity of 400,000 tons.
With the addition of this new line, CSI will have a total hot dip galvanizing capacity of 1.2 million tons per year. The investment is expected to cost approximately $370 million and take 30 months to construct following regulatory approvals.
“With recent closures of galvanizing capacity in the western region, CSI is seizing an opportunity to provide the high-quality value-added products that our customers have requested,” said Leon Topalian, chair, president and chief executive officer of Nucor Corporation.
Nucor galvanizing pulpit. Photo Credit: Nucor
The investment in the new CSI galvanizing line is a partnership between Nucor and JFE Steel of Japan. A prior partnership between Nucor and JFE Steel of Japan involved the formation of Nucor JFE Steel Mexico, which completed construction in 2020. Nucor acquired a 51% stake in CSI in February 2022.
CSI Serves Construction Market
CSI is a flat-rolled steel converter with the capability to produce more than 2 million tons of finished steel and steel products annually. The company has five product lines including hot rolled, pickled and oiled, cold rolled, galvanized, and ERW pipe.
Key end-use markets served by CSI include the construction, service center and energy markets. CSI employs more than 800 full-time and temporary teammates.
Nucor’s New Steel Plate Mill is Up and Running
Nucor’s new steel plate mill in Brandenburg, Kentucky, rolled its first steel plate on December 30, 2022. Representing a $1.7 billion capital investment, the mill has the ability to produce 1.2 million tons of steel plate annually. It is the first steel mill in the world to pursue certification under LEED v4, a more stringent LEED rating that provides a globally recognized framework for sustainability achievement.
14 Million Ton Sheet Mill Capacity
In addition to its majority ownership of CSI, Nucor currently operates five strategically located sheet mills that use thin slab casters to produce flat-rolled steel for automotive, appliance, construction, pipe and tube, and many other industrial and consumer applications. The company also has a sixth wholly owned sheet mill under construction in West Virginia.
The capacity of Nucor’s sheet mills is currently estimated at 14 million tons per year and, inclusive of this investment and the planned additions in West Virginia and South Carolina, Nucor will grow to 6.4 million tons of galvanizing capacity in the United States.
All of Nucor’s sheet mills are equipped with galvanizing lines and five of them are equipped with cold rolling mills for the further processing of hot-rolled sheet steel.
About Nucor
Nucor and its affiliates are manufacturers of steel and steel products, with operating facilities in the United States, Canada and Mexico. Products produced include: carbon and alloy steel — in bars, beams, sheet and plate; hollow structural section tubing; electrical conduit; steel racking; steel piling; steel joists and joist girders; steel deck; fabricated concrete reinforcing steel; cold finished steel; precision castings; steel fasteners; metal building systems; insulated metal panels; overhead doors; steel grating; and wire and wire mesh.
Nucor, through The David J. Joseph Company, also brokers ferrous and nonferrous metals, pig iron and hot briquetted iron / direct reduced iron; supplies ferro-alloys; and processes ferrous and nonferrous scrap. Nucor is North America’s largest recycler.
Additional Resources
- Nucor Evaluates New Carbon Capture Technology, Executive Featured on Podcast
- Nucor Ecospan® System Featured in $20-million Mixed-Use Project
- Nucor to Build Sheet Mill in West Virginia, Acquires California Steel Industries