Nucor Steel Tuscaloosa plans to invest $280 million to support current and future operations at the Tuscaloosa County rolling mill, the Tuscaloosa County Economic Development Authority announced.

The investment will expand current product lines and add a new product line to Nucor’s steel coil and plate offerings in Tuscaloosa County, where it employs more than 400 workers.

The project will enable the mill to produce thinner, stronger, higher-quality plate and a new product line that is not currently manufactured domestically.

“The investment at the rolling mill at Tuscaloosa is important to keep our mill competitive in the global steel industry and open up new market opportunities for our team,” said Brian Phillippi, vice president and general manager of Nucor Steel Tuscaloosa. “We appreciate the support we have received from the Tuscaloosa County Economic Development Authority for this project.”

Construction at the company’s facility on Holt Road is slated to begin by the end of the year.

“It’s great news that Nucor is making a significant reinvestment in its facility in Tuscaloosa because this commitment solidifies the site’s future and the high‐paying jobs of over 400 workers,” said Greg Canfield, secretary of the Alabama Department of Commerce.

“This is an important win for the community and for the entire state.”

The project is expected to be fully operational by summer 2027.

Justice Smyth, executive director of the Tuscaloosa County Economic Development Authority (TCEDA), praised the company’s move to expand production at the mill.

“Nucor has investments in over 300 operating facilities in North America, and we are proud that the Tuscaloosa facility has been awarded this new business,” Smyth said.

“In today’s global market, companies have a wealth of opportunities regarding where and how to invest in operations,” Smyth added. He said the announcement “… underscores Nucor’s confidence in our partnership and our people.”

Nucor Steel Tuscaloosa plans to invest $280 million to support current and future operations at the Tuscaloosa County rolling mill. (Nucor Steel Tuscaloosa)

Preserving jobs

TCEDA approved a tax abatement package as part of an investment by Nucor. The tax savings support the retention of more than 400 high-paying jobs at the Tuscaloosa County facility, the generation of new revenue for local vendors and the corresponding state and local tax bases.

The company will receive an abatement of the non-educational sales and use taxes for purchases of equipment and building materials during the construction phase of the project, and an abatement of certain non‐educational property taxes for up to 10 years.

“Nucor has a long history of corporate citizenship, especially in the area of education,” Tuscaloosa Mayor Walt Maddox said. “Through numerous programs and activities, Nucor actively supports educational opportunities for area students.

“This project creates new business opportunities for Nucor and new revenue for our education systems, which strengthens our community and its future.”

TCEDA said the estimated taxes paid by Nucor from this project represent almost $11 million, including $7.5 million in education taxes.

Other local officials praised Nucor’s investment project.

“For almost 20 years, Nucor Steel Tuscaloosa has excelled at producing quality products, creating high‐paying jobs and prioritizing philanthropic activities throughout our community,” TCEDA chair Norman Crow said. “This project demonstrates Nucor’s long-term commitment to Tuscaloosa County and its citizens, for which we will reap the benefits for years to come.”

“The County Commission is pleased to see Nucor expand their operations in Tuscaloosa County, retaining a significant number of high‐paying jobs,” said Probate Judge Rob Robertson. “Enhancing our domestic steel production capabilities is critical to sustain our national economic productivity.

“Nucor’s latest investment not only bolsters their capabilities locally but showcases Tuscaloosa County globally.”

This story originally appeared on the Alabama Department of Commerce’s Made in Alabama website.