Nucor navigates mixed flat-rolled markets with strategic muscle

Management of the Charlotte, N.C.-based manufacturer anticipates recent price increases will flow through to realized pricing in Q1’26 as inventories at service centers and mills run seasonally low.

Improving shipments, tighter import supply, and lower startup costs support a constructive tone for 2026, executives said.

Trade and end-market divergence

Nucor executives said trade action is tightening domestic supply as finished steel imports were down almost 11% through August, supporting pricing and volume dynamics.

Meanwhile, end markets are diverging. Flats are benefiting from energy, data centers, and advanced manufacturing, with “more subdued but stable” demand. Plate is buoyed by infrastructure and defense. And longs remain the strongest category overall.

Sheet talk

Sheet volumes remained strong in Q3’25, with shipments nearly matching the prior quarter’s record.

Management highlighted a 13% year-over-year increase in sheet backlogs, as well as an all-time production record at the Berkeley mill in September, underscoring durable demand for sheet.

Additionally, the new galvanizing line at the Crawfordsville, Ind., sheet mill recently processed its first coil, President and CEO Leon Topalian stated.

Commenting on demand, CFO Steve Laxton said, “We continue to see strong demand for long products and more subdued but stable demand for flats.”

He said Nucor expects strong demand for sheet products from energy, data centers, and advanced manufacturing.

“At the same time, we’re monitoring softer conditions in areas like residential construction, consumer durables, heavy equipment and agricultural machinery,” Laxton added, noting, “New domestic supply is still being absorbed by the market.”

Commenting on purchasing Brazilian slab to reroll at the CSI joint venture in California, Noah Hanners, EVP of sheet products, said the company has been leaning into using more internal coil substrate this year when it’s more economical to do so.

West Virginia mill update

Construction of the West Virginia sheet mill is proceeding on schedule, with progress roughly two-thirds complete. Nucor expects the facility to begin ramping up by the end of 2026, adding incremental capacity and downstream integration opportunities.

With strong customer demand in an underserved area, “We’re going to be extremely successful with that investment,” Hanners commented.

Plate talk

“The plate market overall this year has been pretty good,” said Brad Ford, EVP of plate and structural products. “We’re pretty optimistic about where the plate market’s going.”

Backlogs are up materially, and shipments through the first three quarters of this year were nearly equal to all of last year. Bridges, energy projects, and defense work are propelling demand.

Highlighting a reduction in pre-operating startup costs, Topalian said the Brandenburg, Ky., plate mill is ramping up faster than anticipated.

The mill was EBITDA-positive for a second consecutive quarter and achieved notable milestones on the product development side. It won X70 API grade line pipe certification, and “captured a very large order for Q4 and into Q1.”

Defense work is an area of strength for plate demand, according to the executives, and the company has been encouraged by early-stage trials for military armor applications.