Steel Dynamics, based in Fort Wayne, Indiana, will be building a $1.9 billion flat roll steel plant in Sinton. Courtesy photo
Sinton will be the site of a $1.9 billion steel plant and 600 new jobs, announced Steel Dynamics on July 22. Construction is expected to begin in 2020 on the plant, which should be online in 2021 and producing 3 million tons of flat roll steel a year. Other sites considered in Texas were near Victoria and Brownsville. The company also considered locating in Louisiana or New Mexico.
The company, based in Fort Wayne, Indiana, has been researching plant sites since November. During the process, the Sinton Independent School District and the San Patricio County commissioners approved separate tax-incentive packages to entice the company to choose the Coastal Bend.
According to Steel Dynamics President and CEO Mark D. Millett, Sinton was chosen for a variety of reasons that translate to cost savings for its customers.
First, the town is close to customers in three major regions as well as a ready supply of raw materials. Proximity to the Port of Corpus Christi weighed strongly in Sinton’s favor as a cost-effective means of delivering pig iron to the plant. That speed to market also provides substantial savings to customers.
The 2,500 acres of sorghum field, where the plant will be located, is big enough to provide space for customers to locate near the plant as well — another major cost savings.
Finally, the land is near the BNSF and the Union Pacific railroads.
“We believe a majority of the customer base will experience a significant freight savings compared to their current supply-chain configurations," Millett said.
The plant will add a manufacturing component to the area’s growing industrial base, which currently has about $50 billion in various projects in the works. Most of those are tied to the oil and gas industry, which has made the Port of Corpus Christi the nation’s energy port.
