Nucor Corporation officially opened its new micro-mill facility, Nucor Steel Lexington, located in Davidson County, North Carolina. The facility represents an investment of approximately $440 million. Additionally, the state-of-the-art plant is engineered to produce up to 430,000 tons of 100% recycled steel rebar annually, primarily serving growing construction and infrastructure demands along the I-85 corridor.
Furthermore, the facility utilizes energy-efficient manufacturing processes and scrap-based electric arc furnace (EAF) technology. This feature positions it among the most sustainable steel mills in the world. Moreover, the facility generates about 200 direct jobs and an estimated $2 billion local economic impact over the coming decade. Further strengthening its regional footprint, Nucor also announced an adjacent $20 million investment in a dedicated rebar fabrication site nearby to support customer supply chain logistics directly from the newly operating mill.
Similar Projects
In another similar steel project that is coming up in the US Mesabi Metallics is planning a $15 billion steel mill in Iowa. The Nucor Steel Lexington facility and Mesabi Metallics’ planned $15 billion Iowa steel mill project both represent the new wave of modern domestic manufacturing aimed at reshoring supply chains and expanding American steel production. Both facilities prioritize low-carbon footprint technologies that advance sustainable steelmaking; Nucor utilizes an electric arc furnace (EAF) micro-mill model powered by recycled scrap, while Mesabi Metallics’ Iowa operations integrate high-purity direct reduced (DR)-grade iron ore pellets mined in Minnesota to feed clean, modern steelmaking processes. Structurally, both plants are strategically positioned in key regional economic hubs—Lexington serving the I-85 mid-Atlantic corridor and Mesabi driving Midwest manufacturing—to deliver massive local economic impacts, generating hundreds to thousands of direct jobs and anchoring multi-billion-dollar domestic industrial growth. By utilizing ultra-efficient operational models rather than traditional coal-fired blast furnaces, both projects reflect a shared strategic blueprint focused on regional distribution, industrial decarbonization, and long-term American infrastructure support.
April 13, 2022
A new $350 million Lexington Rebar Mill has been planned for development in North Carolina by Nucor Corp, a renowned steel manufacturing company. This new plant will be the company’s third rebar mill location in the U.S, in addition to the existing ones located in Missouri and Florida.
Located off U.S Highway 64 in Lexington, Davidson County, Nucor’s new Rebar Mill is intended to produce rebar; a reinforcement type of steel material, which is used mostly for the construction of buildings, bridges, roads, and other structures. The mill will have an annual capacity of 430,000 tons and produce new steel products, from recycling scrap metal.
Also Read US$2.7 billion Nucor Corp steel mill to be constructed in West Virginia
In addition to producing Rebar, the new 15 bar steel plant, will also manufacture a wide range of other steel products, which include hot-rolled bars, light shapes, rounds, structural angles, channels, special bar quality (SBQ) steel bars, highway products in carbon, wire rods and alloy steels.
According to the President & Chief Executive Officer of Nucor, Leon Topalian, the new Lexington Rebar Micro Mill would produce up to 97% recycled content, making Nucor one of the most sustainable steel producers in the world, as the infrastructure for this project will be built by using the most sustainable steel available anywhere in the world.
Funding for the new Lexington Rebar Mill
The Lexington Rebar Mill will be funded in part by a 12-year Job Development Investment Grant (JDIG) from the state, which offers $3.3 million in financial incentives to the company, in exchange for investing at least $310 million in the plant and providing a minimum of 180 employment opportunities.
In addition, the project is also eligible for a state rural infrastructure grant of $370,600 and the North Carolina Economic Investment Committee has also approved a combined $19.3 million in state economic incentives to build this new rebar mill in Lexington.
The new Lexington Rebar Mill is expected to provide full-time jobs for about 200 workers when the plant commences full operations. During the construction phase, the plant will create up to 500 temporary jobs, and the construction is expected to take about two years, pending permit and regulatory approvals.
According to Gov. Roy Cooper’s office, the average annual wages for the jobs provided by the Nucor’s plant will be about $99,660, which is more than double the average wage in Davidson County at $45,117.
Nucor Steel Lexington Project Factsheet
Company / Developer: Nucor Corporation
Facility Type: Advanced Micro-Mill Steel Manufacturing Plant
Project Name: Nucor Steel Lexington
Location: City of Lexington, Davidson County, North Carolina, USA (along the I-85 mid-Atlantic corridor)
Primary Output: 100% recycled steel concrete rebar and bar stock
Capital Investment and Economic Impact
- Initial Plant Investment: $350 Million – $440 Million
- Additional Investment: $20 Million dedicated rebar fabrication site adjacent to the mill
- Estimated Local Economic Impact: Approximately $1.2 Billion to $2 Billion over a 12-year period
- Job Creation: 180–200 direct permanent manufacturing positions
- State Support: Job Development Investment Grant (JDIG) authorizing performance-based reimbursements over a 12-year term
Production Capabilities and Sustainability
- Annual Production Capacity: Up to 430,000 tons of steel rebar
- Technology: Scrap-based Electric Arc Furnace (EAF) micro-mill technology
- Raw Material: 100% recycled scrap metal
- Environmental Impact: Eliminates traditional coal-fired blast furnaces, significantly reducing carbon emissions and energy usage per ton of steel produced
Site Infrastructure and Specifications
- Site Footprint: 330 acres
- Earthwork and Foundations: Over 50,000 cubic yards of structural concrete and 320,000+ cubic yards of rock processed during construction
- Target Logistics and Distribution: Optimized for rail and highway logistics along the I-85 corridor to serve infrastructure projects from Washington, D.C. to Atlanta
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