Davis Index: Market Intelligence for the Global Metals and Recycled Materials Markets

Steel Dynamics (SDI) plans to add two more flat-rolled steel coating lines in the South, earlier than schedule and to expand production in the Midwest. 

 

The site is not yet established but will be in the Southern US, to provide Sinton with similar expansion and increased margin product capacities as its Butler and Columbus Flat Roll Steel sectors. SDI also plans to construct two additional flat roll coating lines in the Midwest to provide for increasing demand and to expand as well as improve profitability of its Midwest flat roll steel operations.

 

South

The steelmaker will devote $225mn to the two new coating lines in the South that will support Sinton’s steel plant when production starts late in the summer of 2021. The lines will include a 300,000nt flat roll galvanizing line and a 240,000nt paint line. SDI projects these lines to begin production during H2 2022.

 

Midwest

The company will spend $175-200mn on the two coating lines for the Midwest as well. The lines will also include a 300,000nt flat roll galvanizing line and a 240,000nt paint line. The lines will also gain from the company’s supply chain, SDI indicated. The location and engineering arrangements are in progress and the Midwest coating lines will commence production in H2 2022.

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