Nucor Corporation Ceases Production at Longview Plate Mill Group

Nucor Corporation, the largest steel producer in the United States, has recently announced that it will reorganize its plate group, including ceasing production at Nucor Steel Longview, LLC. This decision will affect the mill’s 100,000 tons of annual capacity and its 140 employees, who will be offered opportunities at other Nucor divisions.

Why did Nucor make this decision?

Nucor acquired the Longview mill in 2016 for approximately $29 million from Joy Global Inc., a mining equipment manufacturer. The mill produces heavy steel plate and has heat-treating capabilities. However, according to Nucor’s Executive Vice President for Plate and Structural Products, Al Behr, the mill has not been able to achieve the expected performance and profitability levels.

Behr also stated that Nucor will evaluate and deploy the assets at Longview across its other mills where appropriate. He thanked the Longview teammates for their outstanding performance and achievements during the past several years and expressed his hope that they will choose to remain a part of the Nucor family.

What are the implications of this move?

Nucor expects the phase out of production to occur in the third quarter of this year. Production will be transferred to Nucor’s remaining plate mills, including its new state-of-the-art plate mill in Brandenburg, Kentucky, which began operating earlier this year. The Brandenburg mill will produce discrete, coiled, and heat-treated plate ranging from 60 to 168 inches wide, and in gauges from 3/16 of an inch to 14 inches.

With its discrete plate mill in Hertford County, North Carolina, cut-to-length and discrete mill in Tuscaloosa, Alabama, and the recent addition of the Brandenburg mill, Nucor’s plate group is well-positioned to serve the market with reliable, high-quality, sustainable steel plate products.

Nucor’s decision to cease production at Longview may have some impacts on the steel industry and the environment. On one hand, it may reduce the supply of heavy steel plate in the market and increase the demand for Nucor’s other plate products. On the other hand, it may also reduce the carbon footprint of Nucor’s operations and contribute to its goal of becoming a net-zero carbon company by 2050.

Conclusion

Nucor Corporation is a leader in the steel industry and a pioneer in innovation and sustainability. By reorganizing its plate group and ceasing production at Longview, it aims to optimize its performance and profitability while also reducing its environmental impact. This move may have some effects on the steel market and the customers who rely on Nucor’s products.

If you want to learn more about Nucor Corporation and its plate group reorganization, you can visit their website[^1^][1] or read their press release[^2^][2]. You can also follow them on social media for more updates and insights.