Analysis
June 26, 2026
Hybar expansion accelerates with groundbreaking of second Arkansas mill
Written by Laura Miller
Hybar LLC broke ground Friday on its second rebar mill in Osceola, Ark., accelerating one of the fastest expansion runs the US long-products sector has seen in years.
The company started construction at sunrise on June 26. That kicked off a 22- to 24-month build that mirrors the self-perform model Hybar used for its first mill, CEO Dave Stickler said in an interview with SMU. “We build them ourselves… we don’t have a turnkey contractor,” he commented, noting that many subcontractors and technology partners have worked with him for decades. Like Hybar’s first mill, SMS group will again provide the technology for its second.
When SMU inquired about how things are going in Arkansas, he said they weren’t going pretty well—they’re going “exceptionally well.”
Second mill follows rapid ramp-up at first facility
Stickler said the decision to expand came sooner than expected. Demand, labor productivity, and energy efficiency at the first Osceola mill pushed investors to move quickly. “I don’t know that when we formed Hybar less than three years ago, we thought that in less than three years we would be breaking ground on another billion-dollar-plus project,” he stated.
Hybar’s first mill started up 26 months after groundbreaking and turned cash-flow positive in its fourth month. The mill is finishing up its ninth month of operation and running at 75-80% of its 630,000-short-ton rated capacity, with expectations to exceed nameplate capacity later this summer. Stickler expects the mill to ultimately run at 700,000 st per year.
The new, $1.1 billion mill will increase Hybar’s total rebar production capacity to ~1.3 million st per year.
Renewable energy milestone approaching
Stickler said Hybar is 30 to 60 days away from producing rebar with 100% renewable energy. The mill has reached 80% solar-plus-battery power so far. Once the final field test is complete, Hybar will label its product as “produced with 100% renewable energy.”
The company also expects to become the second LEED-certified steel producer in the US, following Big River Steel.
Contracted tons rising
Hybar has secured, or is close to securing, more than 350,000 tons of long-term annual contractual sales, exceeding its original target. Stickler said buyers value Hybar’s three transportation modes (barge, rail, truck), its sustainability profile, and its decision not to fabricate, coat, or precast rebar.
“We are not going to compete with our suppliers of scrap, and we’re not going to compete with our customers,” he said, differentiating the company from several of its key competitors.
Market outlook: solid demand, pockets of softness
Stickler described the US rebar market as solid but not great. Imports are down to 5-7.5% of US consumption, from historical levels of 10-15%, he said.
Strength in the US rebar market is coming from several major segments. Data centers continue to drive large volumes, and Hybar is already supplying multiple high-profile projects. Electrical infrastructure work is another strong area, including transmission lines and new generation facilities. Medical-campus expansions remain active as healthcare spending grows nationwide. Department of Transportation work is steady, with bridges, roads, tunnels, and major interchanges under construction across several regions.
Housing and office projects are softer, but Hybar is still landing work there, including a recent 55,000-ton order for a high-rise hotel and condo project in Florida.
Tariffs: helpful and harmful
Stickler called tariffs a “two-edged sword.” They support fair trade but raise equipment costs because some mill components aren’t manufactured domestically. He also pointed to Canada’s reciprocal 25% tariff on US rebar, which blocks Hybar from serving a major customer there.
Still, he said tariffs are contributing to reshoring: “The tariffs are one of several reasons that large companies from around the world are investing in the United States,” he said. “Reshoring is absolutely happening.”
Hybar’s trajectory
After three decades of building and operating mini mills, Stickler said Hybar’s performance stands out. “We are killing it,” he said. “The Hybar project has really come out of the gate like a Ferrari, and I don’t see that Ferrari slowing down anytime soon.”
