CALVERT: ArcelorMittal announced Thursday it has completed the acquisition of Nippon Steel Corporation’s 50% stake in AM/NS Calvert, gaining full control of the Alabama-based steelmaking facility. The deal, finalized under the terms of an Equity Purchase Agreement signed in October 2024, rebrands the site as ArcelorMittal Calvert.
The facility, originally built by ThyssenKrupp at a cost of $5 billion and acquired jointly by ArcelorMittal and NSC in 2014 for $1.55 billion, has emerged as one of North America’s most advanced steel finishing operations.
With an annual flat rolled steel capacity of 5.3 million metric tonnes, the plant is equipped to produce high-strength automotive and pipe-grade steels. Key assets include a state-of-the-art hot strip mill, a continuous pickling line coupled with a tandem cold mill, and multiple coating and annealing lines producing Gen3 advanced high-strength steels and press-hardened steels.
Since the joint acquisition, more than $2 billion has been invested in facility upgrades aimed at enhancing output and sustainability. Recent capital projects include a new steelmaking facility with the capacity to produce 1.5 million metric tonnes of low-CO2 steel annually, and logistics infrastructure to support high-volume coil and pipe production. First heat at the new mill was completed this month.
The site will also benefit from a newly inked seven-year domestic slab supply agreement with NSC, providing 750,000 metric tonnes annually. In parallel, ArcelorMittal is evaluating a possible expansion of its steelmaking capacity at Calvert, further reinforcing its domestic manufacturing footprint.
In February, the company committed $1.2 billion to build a non-grain-oriented electrical steel (NOES) facility at the site. Designed to bolster U.S. automotive, renewables, and industrial supply chains, the new plant will produce up to 150,000 metric tonnes annually by 2027. Long-lead equipment orders have been placed, environmental permits received, and construction is underway.
“Full ownership of Calvert represents a strategic milestone,” said Aditya Mittal, CEO of ArcelorMittal. “We’ve transformed it into a world-class producer of low-carbon steels, and with further investments underway—including electrical steel production—we’re positioned to meet the sophisticated demands of the U.S. market.”
John Brett, CEO of ArcelorMittal North America, called Calvert the company’s future “center of excellence,” emphasizing its electric arc furnace, links to the HBI plant in Texas, and focus on safety and sustainability.
Financially, AM/NS Calvert generated $614 million in EBITDA in 2024. The acquisition is expected to increase ArcelorMittal’s net debt by approximately $1.3 billion and contribute a $1.5 billion exceptional gain in second-quarter 2025 earnings. Sustaining capital expenditures are projected at $90 million annually, with an additional $90 million in 2025 linked to the new EAF.