Steel firm to build facility in state
Majestic Steel USA Inc. of Cleveland, announced Monday that it will create some 225 jobs with the completion of a 515,000-square-foot processing, distribution and warehousing center on the campus of Nucor Steel at Hickman Landing in Mississippi County.
Majestic’s announcement adds to the steel industry’s 35-year history in Mississippi County, where soybean and cotton fields have given way to large mills, especially along the Mississippi River from Blytheville south past Osceola.
About 3,000 people are directly employed by steel producers such as Nucor and U.S. Steel Corp., the new owner of Big River Steel. At least 1,200 more are employed by other steel-related businesses and suppliers.
Majestic, which is familyowned, said the project is a tiein to Nucor’s new galvanized line and will help Majestic better serve its customers in south and central states. The company also has operations in Tampa, Fla.; Houston; Grand Prairie, Texas; and Las Vegas.
Construction will begin in September, with completion by late next year, company spokesman Jamie Reutershan said Monday. Majestic said construction of the center will add another 111 jobs.
Reutershan said the Arkansas facility will be the company’s largest and that average pay will be $22 an hour.
“Like our other service centers, this new location will have slitting, cut-to-length, blanking and spinning capabilities,” Reutershan said.
Majestic has about 450 employees across all its operations now, including those absorbed with the company’s purchase in April of Merit Steel, a California-based supplier.
The Arkansas Industrial Development Commission announced Majestic will be eligible for the state’s sales
tax rebate on purchases of eligible machinery and materials and for cash payments based on payroll taxes.
“The on-campus site will provide close proximity to production and Nucor’s new galvanized line which is currently under construction, creating greater supply chain optimization, operational efficiencies, and inevitably shorter lead times for customers in the area,” a Majestic news release read.
“Today’s announcement cements our commitment to provide the best supply chain solution and value add to our customers and further strengthens our relationship with Nucor,” Todd Leebow, Majestic’s president and chief executive officer, said in the same news release. “Our intention with this investment is to offer our customers in the region the combined benefit of localized service and national resources.”
Majestic was founded in 1979 as a small supply store, Leebow, who has led the company since 2012, told SNIPS, a trade publication for sheet steel producers, in April 2020.
“When my father [Dennis Leebow] started the business, everything he did was about the customer and providing quality, speed and service, including his willingness to carry inventory when many were not willing to carry inventory that wasn’t pre-sold given the interest rate at that time,” Todd Leebow told the publication. “And so, he took a risk to carry that inventory, and that was really how the business got started and what the model was.”
Gov. Asa Hutchinson said in a statement: “I’m pleased to welcome Majestic Steel to Northeast Arkansas. The company is making a significant investment in the state thanks to the hardworking, dedicated employees in the steel industry, and the jobs being created will go a long way in improving the quality of life for families in the area.”