Steel Dynamics Begins Aluminum Production at Columbus Facility

Steel Dynamics

New Plant to Boost Flat-Rolled Aluminum Output

Steel Dynamics (SDI), a leading electric arc furnace steelmaker and recycler, successfully cast its first industrial and beverage can ingots at its newly launched aluminum facility in Columbus, Mississippi, on January 12. Operating under the Aluminum Dynamics brand, SDI aims to produce 650,000 metric tonnes of flat-rolled aluminum annually, supporting the beverage, automotive, and common alloy markets.

Production Capacity and Recycling Strategy

Starting in June, 45% of SDI’s aluminum output will go toward can sheet production, 35% will serve the automotive industry, and 20% will be used for common alloy applications. By the end of 2025, the facility expects to operate at 50% utilization, ramping up to 75% through 2026.

To meet demand, SDI will rely on 900,000 tonnes of recycled aluminum slabs. The Columbus site will supply 70% of these materials, while two satellite slab centers in Mexico and Arizona will contribute the remaining 30%. The Mexico facility is set to launch in the first quarter of 2025, followed by Arizona later in the year.

Nonferrous Recycling Trends

Despite the expansion, SDI’s nonferrous recycling shipments saw a slight decline in 2024. Shipments fell to 965 million lbs from 970 million lbs in 2023, with fourth-quarter volumes dropping to 226 million lbs from 234 million lbs a year earlier. However, the new aluminum operations are expected to strengthen the company’s position in the recycled metals market.