FRANKFURT, KY (WTVQ) — Nucor Tubular Products, a subsidiary of steel maker Nucor Corp., plans to build a $164 million pipe plant and create 72 full-time jobs in Gallatin County. Once launched, the 396,000 square foot pipe plant will provide an annual production capacity of 250,000 tons of steel pipes, including structural steel hollow pipes, mechanical steel pipes, and galvanized solar torque tubes. The new pipe plant near Ghent, Kentucky will be near the expanding solar energy market in the United States and the largest consumer of hollow structural tubes. Company management expects construction to begin this summer, with completion currently expected in mid-2023. With this investment, Nucor will further expand its footprint in Gallatin County. The company recently completed the first phase of a major $826 million expansion project at its Nucor Steel Gallatin facility near Ghent, Kentucky. The plant produces flat products and is currently in the middle of the second stage. The Gallatin steel plant expansion created a total of 145 full-time jobs. The company is also growing elsewhere in Kentucky. In October 2020, Governor Andy Beshear and Nucor officials celebrated the start of construction on a $1.7 billion, 400-person steel plate facility in Mead County, expected to open in 2022. Nucor, headquartered in Charlotte, North Carolina, is North America’s largest recycler and the nation’s largest producer of steel and steel products. The company has more than 26,000 employees at more than 300 locations, primarily in North America. In Kentucky, Nucor and its affiliates employ about 2,000 people at numerous sites, including Nucor Steel Gallatin, Nucor Tubular Products Louisville, Harris Rebar, and 50% Steel Technologies. Nucor also owns David J. Joseph Co. and its statewide recycling facilities that collect and recycle scrap metal under the name Rivers Metals Recycling. The Nucor Tubing Products (NTP) group was formed in 2016 when Nucor entered the tubing market through the acquisition of Southland Tube, Independence Tube Corp. and Republic Conduit. Today, NTP consists of eight tube mills strategically located next to Nucor’s flat mills as they are consumers of hot rolled coil. NTP Group manufactures high speed steel pipes, mechanical pipes, pile pipes, sprinkler pipes, galvanized pipes, heat treated pipes and electrical wires. The total annual production capacity of the NTP is about 1.365 million tons. Nucor’s plants are part of Kentucky’s powerful steel industry, which employs about 26,000 people in more than 220 plants. The industry includes producers and processors of steel, stainless steel, iron, aluminium, copper and brass. To encourage community investment and job growth, the Kentucky Economic Development Finance Agency (KEDFA) on Thursday provisionally approved a 10-year incentive agreement with the company through the Kentucky Business Investment Program. The results-based agreement provides tax incentives of up to $2.25 million based on a company investment of $164 million and annual targets of: In addition, KEDFA approved Nucor tax credits of up to $800,000 under the Kentucky Enterprise Initiative Act (KEIA). KEIA allows approved companies to recover Kentucky sales and use tax on building costs, building fixtures, equipment used in research and development, and electronic processing. Having reached the annual goal during the term of the agreement, the company has the right to withhold a part of the new tax revenue that it generates. Companies can apply for qualifying exemptions based on their income tax liability and/or salary estimates. In addition, Nucor has access to Kentucky Skills Network resources. Through the Kentucky Skills Network, companies gain access to free recruitment and placement services, discounted personal training, and job training incentives.
Post time: Jul-18-2023