$215M Investment by US Steel to Have Monumental Impact on Alabama Steel Industry

SEATTLE (Scrap Monster): The announcement by Pittsburgh-based US Steel to resume the construction works of modern electric arc furnace (EAF) in its Fairfield, Alabama steel making facility is likely to provide big boost to Alabama steel industry. Further, it is expected to ensure long term prospects of tubular business in the region.

Mark Brown of Birmingham Business Alliance noted that U.S. Steel’s huge investment will put Birmingham back on the map in the steel industry, which has served to be the backbone of the region. The sustainable technology at the new facility will further reinforce the future of steel industry in Birmingham for years to come. The decision will have a monumental impact and will drive future growth of the region, he added.

According to Alabama Department of Commerce, ADIT has already committed around $1.4 million in assistance to the construction project. The agency will provide recruitment, pre-employment training and post-employment training for the employees to be appointed at the facility. The company press release noted that it aims to add 150 new jobs, thereby making the total employee count at Fairfield to 900 by 2020.

U.S. Steel plans to invest $215 million, so as to restart the furnace to produce steel rounds by 2020. The construction, which once restarted in March 2015, was later suspended by December 2015, on account of unfavorable market conditions.

Upon completion of works of the technologically advanced EAF, the mill is expected to have a production capacity of around 1.6 million tons per annum.