"In recent years, Columbus has transformed its product offerings through the addition of painting and Galvalume coating capability, as well as through the introduction of more complex grades of flat-roll steel, some of which serve the automotive sector. These value-added improvements have reduced the amount of volume available to our existing galvanized customer base. The addition of a third galvanizing facility will allow Columbus to serve these existing customers, as well as new customers in the region, and will also further reduce its exposure to the more cyclical hot roll market," Steel Dynamics chief executive Mark Millett said in an announcement Tuesday.

The line, estimated to cost US$140 million, will have a capacity of 400,000 tons annually. It will produce sheet in thicknesses of between 0.013 inches and 0.160 inches and in widths of between 36 inches and 72 inches.

Including capacity to come with its planned acquisition of the former Heartland Steel facility Terre Haute, Ind., USA, the new line will give Steel Dynamics the ability to coat 4.2 million tons annually. That will make it the largest provider of non-automotive galvanized flat-roll in the United States, the company said.

Start-up is scheduled for mid-2020.

In addition to the galvanizing line, Steel Dynamics said it will upgrade certain process lines and the hot strip mill in an effort to improve efficiencies and product offerings.

“The added investments will continue to improve the process control needed for advanced high-strength steel grades used in the automotive industry," Millett said.

"Since our acquisition of Columbus in late 2014, the team has done a tremendous job transforming the through-cycle earnings capability of this facility. This wave of investment is the next step in our vision."