Arkansas lawmakers have voted to create tax incentives to bring US Steel's new 3mn short ton/yr flat-rolled mill to the state.
The state legislature passed a bill to provide tax relief for the potential $3bn investment in electric arc furnace (EAF) steelmaking in the state. The bill awaits the governor's signature.
The tax credit would apply to waste reduction, reuse, or recycling equipment, with the bill adding steel mill facilities as a qualified growth project. The tax credit would provide as much as $11mn/yr and could increase to $27.5mn/yr if the public retirement system is an owner or shareholder in the project.
The US Steel mill was announced in mid-September and would have two EAFs and produce advanced grades of sheet steel. US Steel in late 2020 doubled capacity at its 3.3mn st/yr Big River Steel EAF flat-rolled mill in northeast Arkansas.
A state senator said the competition for the mill is between Arkansas, Alabama and Mississippi. US Steel currently operates a tubular EAF mill in Alabama and has a joint venture with ArcelorMittal in Double G Coatings in Jackson, Mississippi.
A US Steel spokeswoman said the company is in the permitting phase for the mill and that Arkansas is one location under consideration.
