One of the world’s largest steelmakers plans to establish a new plant in Alabama to supply the U.S. auto industry, according to a new report.
Making Steel for Trucks and SUVs
ArcelorMittal plans to invest some $900 million in the new facility in Calvert, Alabama. Reuters reported that the facility will produce the non-grain-oriented electrical steel that is used to make pickups, sport-utility vehicles, and other larger, in-demand passenger vehicles.
The company, headquartered in Luxembourg, is the second-largest steel producer in the world.
Production Starting in Two Years
Production at the Calvert plant is expected to begin in late 2027. The Southwest Alabama project will reportedly have an annual production capacity of 150 kilotons.
The report noted that demand for the premium steel is up amid stronger vehicle sales numbers — and that the industry faces a relatively limited domestic supply.
Car Makers Optimistic
According to one analysis, new vehicle sales in the U.S. last year were the strongest in five years, and the industry anticipates another strong year in 2025—barring any impacts from potential tax or regulatory changes.
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