ArcelorMittal to construct advanced electrical steel facility in Alabama

ArcelorMittal has announced plans to build a state-of-the-art non-grain-oriented electrical steel (NOES) manufacturing facility in Alabama, reinforcing its commitment to supporting the automotive, renewable energy, and industrial sectors. The facility, wholly owned by ArcelorMittal, will have an annual production capacity of up to 150,000 metric tons of NOES, helping to reduce U.S. reliance on imported electrical steel.

“We recognize the importance of creating a resilient, sustainable domestic supply chain for this critical material,” said John Brett, CEO of ArcelorMittal North America. “We also greatly appreciate the support the project has received and would like to recognize Alabama Governor Kay Ivey and Secretary of Commerce Ellen McNair, as well as the Mobile County Commission and the Mobile Chamber for their backing, which not only advances our mission but also fuels economic growth in the greater Mobile region.”

Construction is expected to begin in the second half of 2025, with production commencing in 2027. The project is estimated to generate up to 1,300 jobs during the construction phase and create over 200 permanent positions.

Governor Kay Ivey highlighted the project’s economic and technological significance: “ArcelorMittal’s $1.2 billion investment not only strengthens Alabama’s position as a key player in the steel industry but also paves the way for innovation in electric motors and renewable energy technologies.”

Alabama Senator Katie Britt underscored the strategic importance of the project, stating, “This $1.2 billion investment represents next-generation innovation that will strengthen our state and nation’s national security capabilities. Onshoring critical supply chains is imperative to fuel a powerful new era of Made in America excellence.”

The facility will feature an annealing pickling line, a cold-rolling mill, an annealing coating line, a packaging and slitter line, and other advanced equipment essential for specialized electrical steel manufacturing. The plant will be located near the AM/NS Calvert joint venture between ArcelorMittal and Nippon Steel, a cutting-edge steel facility with existing infrastructure that includes a river terminal, hot strip mill, cold rolling mill, hot dip galvanizing lines, and an electric arc furnace nearing completion.

Peter Leblanc, CMO of ArcelorMittal North America, emphasized the company’s commitment to meeting growing demand: “We’re committed to meeting the increasing need for high-quality electrical steels while helping customers overcome their supply chain challenges. The new plant will greatly enhance our capacity to support manufacturers by providing a steady domestic supply of high-quality NOES, enabling them to produce superior products and avoid material shortages.”

ArcelorMittal Calvert, a subsidiary of ArcelorMittal, continues to play a crucial role in the company’s global strategy. With operations in 60 countries and primary steelmaking facilities in 15 nations, ArcelorMittal remains a global leader in steel and mining, producing 57.9 million metric tons of crude steel in 2024 and generating $62.4 billion in revenue.

Source: ArcelorMittal, Photo: Fotolia