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Released April 24, 2025 | SUGAR LAND
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Researched by Industrial Info Resources (Sugar Land, Texas)--In reporting its first-quarter 2025 earnings, Steel Dynamics Incorporated (NASDAQ:STLD) (Fort Wayne, Indiana) executives reiterated the company's 2025 capital investment (capex) plan of between $800 million and $1 billion--which is down from $1.9 billion in 2024--and discussed growth projects.
In the earnings conference call, Teresa Waggler, chief financial officer of Steel Dynamics, said the majority of the 2025 capex is "related to the completion of our aluminum and biocarbon strategic growth investments." She said first-quarter capex reached $306 million.
While Steel Dynamics in the past focused primarily on the steel industry, the company now is building out its aluminum business. "We have intentionally grown with our customers' needs, providing efficient sustainable supply-chain solutions for the highest quality products," Chief Executive Officer Mark Millett said in an earnings-related press release. "...a significant number of our flat rolled steel customers are also consumers and processors of aluminum flat rolled products."
Steel Dynamics aims to provide flat-rolled aluminum with high recycled content to customers in a variety of business sectors, including sustainable beverage can and packaging production, as well as automotive, industrial and construction.
The company is continuing with "successful commissioning" of two aluminum projects: a $1.9 billion flat-rolled aluminum mill in Columbus, Mississippi, which at full capacity, will process an estimated 900,000 metric tons per year of aluminum slab--producing 650,000 tons of finished products annually to serve the beverage can, automotive and common alloy sectors; meanwhile, a grassroot aluminum-recycling plant in San Luis Potosi, Mexico will supply the Columbus mill with recycled aluminum slab. Subscribers to Industrial Info's Global Market Intelligence (GMI) Metals & Minerals Project Database can learn more about the aluminum mill and aluminum-recycling projects.
For more information on the aluminum mill project and project spending in North America's aluminum sector, see Industrial Info's March 27, 2025, article - Aluminum Sector Brings Billions in Spending to North America.
The company also is exploring another aluminum-recycling plant that would serve the Columbus mill, in Gila Bend, Arizona. Industrial Info deems the project as having a medium probability of kicking off in July. Subscribers can click here for the project report.
At a separate location in Columbus, Steel Dynamics is putting the finishing touches on a $150 million biocarbon production facility, which the company expects to begin commissioning this year. The unit will supply an operational steel mill's electric arc furnace with biocarbon, a renewable alternative to fossil-fuel carbon. The company also is exploring a second phase that would expand capacity. Subscribers can click here for a profile on the operational Columbus steel mill, and also can read detailed project reports on Phase I and Phase II.
In terms of the company's steel business, Millett said, "we remain constructive that market conditions are in place for domestic steel consumption to be solid through 2025 and into the following years."
"Order entry activity improved across our businesses and steel pricing firmed in the first quarter 2025."
However, he added certain customers have seen uncertainty regarding trade actions. Still, he continued, onshoring of manufacturing businesses "combined with the expectation of fixed asset investment to be derived from public and private funding" should further benefit the domestic steel industry.
As of April 23, a 10% baseline tariff applies to U.S. imports from nearly all countries, while a 25% tariff on steel and aluminum imports, regardless of country of origin, is currently in place.
Millett said the company's four new flat-rolled coating lines continue to increase utilization and are expected to reach full run rate earnings potential in the second half of the year. Subscribers can click here for project reports on the four lines, two of which are at a mill in Sinton, Texas, and Terra Haute, Indiana, respectively, and subscribers to the GMI Plant Database can click here for related plant profiles.
In Steel Dynamics' earnings-related press release, Millett said steel demand improved in the first quarter as orders rebounded and backlogs increased throughout the quarter for its steel and steel fabrication operations. He added the company's jump in first-quarter earnings compared with last quarter ($217 million versus $207 million) was due to record steel shipments (3,500,000 tonnes) and "supported by solid results from our metals recycling and steel fabrication operations."
Subscribers to Industrial Info's GMI Database can click here for a look at the reports for all of the projects discussed in this article, and click here for the related plant profiles.
Click here for a full list of active projects from Steel Dynamics in North America.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
In the earnings conference call, Teresa Waggler, chief financial officer of Steel Dynamics, said the majority of the 2025 capex is "related to the completion of our aluminum and biocarbon strategic growth investments." She said first-quarter capex reached $306 million.
While Steel Dynamics in the past focused primarily on the steel industry, the company now is building out its aluminum business. "We have intentionally grown with our customers' needs, providing efficient sustainable supply-chain solutions for the highest quality products," Chief Executive Officer Mark Millett said in an earnings-related press release. "...a significant number of our flat rolled steel customers are also consumers and processors of aluminum flat rolled products."
Steel Dynamics aims to provide flat-rolled aluminum with high recycled content to customers in a variety of business sectors, including sustainable beverage can and packaging production, as well as automotive, industrial and construction.
The company is continuing with "successful commissioning" of two aluminum projects: a $1.9 billion flat-rolled aluminum mill in Columbus, Mississippi, which at full capacity, will process an estimated 900,000 metric tons per year of aluminum slab--producing 650,000 tons of finished products annually to serve the beverage can, automotive and common alloy sectors; meanwhile, a grassroot aluminum-recycling plant in San Luis Potosi, Mexico will supply the Columbus mill with recycled aluminum slab. Subscribers to Industrial Info's Global Market Intelligence (GMI) Metals & Minerals Project Database can learn more about the aluminum mill and aluminum-recycling projects.
For more information on the aluminum mill project and project spending in North America's aluminum sector, see Industrial Info's March 27, 2025, article - Aluminum Sector Brings Billions in Spending to North America.
The company also is exploring another aluminum-recycling plant that would serve the Columbus mill, in Gila Bend, Arizona. Industrial Info deems the project as having a medium probability of kicking off in July. Subscribers can click here for the project report.
At a separate location in Columbus, Steel Dynamics is putting the finishing touches on a $150 million biocarbon production facility, which the company expects to begin commissioning this year. The unit will supply an operational steel mill's electric arc furnace with biocarbon, a renewable alternative to fossil-fuel carbon. The company also is exploring a second phase that would expand capacity. Subscribers can click here for a profile on the operational Columbus steel mill, and also can read detailed project reports on Phase I and Phase II.
In terms of the company's steel business, Millett said, "we remain constructive that market conditions are in place for domestic steel consumption to be solid through 2025 and into the following years."
"Order entry activity improved across our businesses and steel pricing firmed in the first quarter 2025."
However, he added certain customers have seen uncertainty regarding trade actions. Still, he continued, onshoring of manufacturing businesses "combined with the expectation of fixed asset investment to be derived from public and private funding" should further benefit the domestic steel industry.
As of April 23, a 10% baseline tariff applies to U.S. imports from nearly all countries, while a 25% tariff on steel and aluminum imports, regardless of country of origin, is currently in place.
Millett said the company's four new flat-rolled coating lines continue to increase utilization and are expected to reach full run rate earnings potential in the second half of the year. Subscribers can click here for project reports on the four lines, two of which are at a mill in Sinton, Texas, and Terra Haute, Indiana, respectively, and subscribers to the GMI Plant Database can click here for related plant profiles.
In Steel Dynamics' earnings-related press release, Millett said steel demand improved in the first quarter as orders rebounded and backlogs increased throughout the quarter for its steel and steel fabrication operations. He added the company's jump in first-quarter earnings compared with last quarter ($217 million versus $207 million) was due to record steel shipments (3,500,000 tonnes) and "supported by solid results from our metals recycling and steel fabrication operations."
Subscribers to Industrial Info's GMI Database can click here for a look at the reports for all of the projects discussed in this article, and click here for the related plant profiles.
Click here for a full list of active projects from Steel Dynamics in North America.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
