Ground broken at Nucor’s $2.7B West Virginia sheet steel plan
(The Center Square) – A new steel mill set to receive up to $315 million in federal funds and $1.35 billion in future tax breaks broke ground Friday in Mason County, West Virginia.
Nucor broke ground on its sheet steel mill with Gov. Jim Justice in attendance. Nucor says it will spend $2.7 billion to build a plant over the next two to three years that will employ up to 2,000 workers for construction before employing 800 full-time employees at the plant.
In early 2022, the West Virginia Legislature passed a series of bills in special session that would divert up to $315 million in federal COVID-relief funds to Nucor along with providing a business tax credit that would be worth up to 50% of a company’s investment if it spent more than $2 billion and employed more than 500 people.
A fiscal note on the $1.35 billion tax credit bill says that, while it is similar to previous business tax credits, the difference is that the tax credit carryover will not expire. Most current credits expire after 10-15 years, the note says.
The sheet mill is expected to produce three million tons of steel annually.
Justice called the mill the largest investment in a new facility in West Virginia history.
“The time for us to argue whether economic development incentives should be utilized has long since passed,” West Virginia House Speaker Roger Hanshaw, R-Clay, said when the incentive deal passed. “Other states have been doing it for years, and our actions today help the state of West Virginia secure a seat at the table.”
