COLORADO SPRINGS, Colo. Steelmaker Nucor Corp. is coming
ever closer to achieving its goal of moving up the value chain
and creating higher-quality products for more rigorous
applications, its top executive told AMM.
Its an area of growth for us and a strong focus for
us, president and chief executive officer John Ferriola
said May 16 on the sidelines of the American Iron and Steel
Institutes 121st general meeting, co-hosted by the Metals
Service Center Institute.
We have installed equipment to achieve this, like the
vacuum degassers (which purify chemistry), at several of our
mills, he said. We are expanding our SBQ (special
bar quality) presence significantly at several of our plants.
Some of that is up and running, and the rest of it will be up
and running by the end of the year.
The company is targeting sales growth with both automotive and
nonautomotive applications such as energy and heavy equipment,
Ferriola said. So, yes, we are executing on the strategy
we laid out two years ago, he said. We should be
bringing most of those (upgrades) to a conclusion by his year
or by the middle of next year.
The Charlotte, N.C.-based company has not laid out specifics
such as what percentage of sheet mill and SBQ products it makes
should be sold into automotive.
However, we look at the market and adjust our goals
according to what the market is allowing us to participate in
profitably, Ferriola said.
Automotive is doing well, so it provides great
opportunities for us. Some other areas are not doing as well.
For example, appliance (manufacturing) is a little weaker with
nonresidential construction being down. So thats an area
we are not expanding into, Ferriola explained.
We do have targets out there to aim at, but its
hard to see out to 2015 because the economy will be different
and markets will be performing differently, he added.
We adjust as we go to optimize the potential for
profitability for our company.