Nucor Plans Davidson County, North Carolina, Micro Mill Steel Plant
Nucor Steel Lexington is estimated to produce as much as 430,000 tons of rebar a year to meet increasing demand for the company’s products.
"We are very excited to grow our steel business here in our home state of North Carolina. The corridor between Washington, DC and Atlanta is one of the fastest growing regions in our nation, and new federal spending for infrastructure will further increase demand for rebar in the region," said Leon Topalian, President & CEO of Nucor. “Nucor Steel Lexington will produce steel with nearly 100% recycled content, which means our new, modern infrastructure will be made with the cleanest sustainable steel available anywhere in the world.”
Nucor’s project in North Carolina will be facilitated, in part, by a Job Development Investment Grant (JDIG) approved by the state’s Economic Investment Committee. Over the course of the 12-year term of this grant, the project is estimated to grow the state’s economy by $1.2 billion. Using a formula that takes into account the new tax revenues generated by 180 new jobs, and a required investment of $310 million, the JDIG agreement authorizes the potential reimbursement to the company of up to $3,335,400, spread over 12 years. State payments only occur following performance verification by the departments of Commerce and Revenue that the company has met its incremental job creation and investment targets.
JDIG projects result in positive net tax revenue to the state treasury, even after taking into consideration the grant’s reimbursement payments to a given company.
"Manufacturing is the heartbeat of North Carolina’s economy, thanks to our skilled workers and the workforce training systems that support them,” said Governor Roy Cooper. “Nucor already calls North Carolina home and their decision to expand here is great for our domestic supply chain that supports our fast-growing economy.”
Because Nucor chose a site in Davidson County, classified by the state’s economic tier system as Tier 2, the company’s JDIG agreement also calls for moving $370,600 into the state’s Industrial Development Fund – Utility Account. The Utility Account helps rural communities across the state finance necessary infrastructure upgrades to attract future business.
“North Carolina is the number one state for manufacturing in the Southeast, and companies like Nucor help keep us on top,” said North Carolina Commerce Secretary Machelle Baker Sanders. “Our state’s workforce is also a key reason for our success, and as our First in Talent plan for economic development makes clear, we’re committed to providing our people with the education and specialized training they need to successfully fill jobs like these.”
Headquartered in Charlotte, Nucor manufactures a wide variety of steel and steel products, including carbon and alloy steel sold as bars, beams, sheet and plate, and hollow section tubing, among many other formats. The company is North America’s largest recycler, using scrap steel as its primary raw material.
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