Nucor Corporation announced that it is forming a 50-50 joint venture with JFE Steel Corporation of Japan to build and operate a plant in central Mexico to supply that country's automotive market.
The plant has capacity of 400,000 tons per year of galvanized sheet steel. The joint venture positions Nucor with improved geographic reach and expanded product offering to address this roughly 50% growth in automotive demand and builds on JFE's commitment to serve the NAFTA market. Nucor and JFE will each supply an equal amount of substrate to be further processed at the new facility.
The companies are currently working to secure required conditions to move to completion, including but not limited to regulatory approvals. Operations are expected to begin in the second half of 2019.
|Company Name||Nucor Corporation|
|Joint Venture Company||JFE Steel|
|Estimated Cost||$270 Million|
Source : nucor.com