Hanna Steel Announces $20M Expansion Of Tuscaloosa Facility

TUSCALOOSA, AL — The Tuscaloosa County Economic Development Authority (TCEDA) on Thursday announced that Hanna Steel Corp. will invest $20 million and expects to create 14 new jobs in an expansion of its steel production lines in Tuscaloosa.

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TCEDA says the new investment will add equipment to expand certain slitter services to the company's production lines, which will ultimately increase the company’s footprint in Tuscaloosa County.

The steelmaker plans to add 9,000 square feet to its existing facility in the Tuscaloosa County Airport Industrial Park to support the expansion of its operations. The new equipment will also allow the company to expand production and improve productivity by increasing efficiencies in the company's manufacturing process and decreasing equipment downtime.

Along with the new jobs created, TCEDA said a number of existing employees will be promoted to support new production activities.

Work on the expansion is expected to begin in the first half of 2023.

“Hanna Steel has been a member of the Tuscaloosa business community for more than 30 years, supplying numerous industry sectors with its products and providing quality jobs for the citizens of Tuscaloosa County,” TCEDA Chair Norman Crow said. “Our organization and community have supported Hanna’s success since its beginning in 1991, and we look forward to continuing that partnership for another 30 years.”

Since beginning operations in Tuscaloosa County in 1991, the facility has more than quadrupled in size to over 600,000 square feet, with 220 employees. The plant specializes in manufacturing mechanical tubing and Hollow Structural Sections (HSS) tubing.

“It’s exciting to have the opportunity to support amazing partners like Hanna Steel as they grow and thrive in our community,” Tuscaloosa Mayor Walt Maddox said. “For more than three decades, Hanna Steel has provided opportunities for hundreds of our citizens, and currently employees more than 220 individuals. We look forward to celebrating their continued success for many years to come.”

A tax abatement package from the Tuscaloosa County Industrial Development Authority was approved Thursday afternoon and includes the abatement of the non-educational sales and use taxes for purchases of equipment and building materials during the construction phase of the project and an abatement of the non-educational ad valorem taxes on certain real and personal property for up to 10 years.

TCEDA says the $20 million expansion is expected to be fully operational during the second quarter of 2025, with the hiring of the 14 hourly jobs expected to be complete during the first year of operations.

“This is great news for the future of Tuscaloosa County. For decades Hanna Steel has been a valued community partner and their plans for expansion will strengthen their position to serve customers around the world,” Probate Judge Rob Robertson said. “Companies with corporate values like Hanna are the backbone of American industry.”

TCEDA also said the company will be eligible for tax abatements in an estimated amount of $1,543,663, with the expansion estimated to contribute almost $1 million in tax revenue in education taxes, from initial purchases alone, during the first decade of operations.

What's more, economic development officials estimate the project will contribute almost $4 million during its first 20 years in certain taxes generated from the company and direct employee spending, identified through TCEDA's standard evaluation process.

“Hanna Steel is truly a ‘made in Alabama’ company that we are proud to have in Tuscaloosa County,” TCEDA Executive Director Justice Smyth said. “Their products are used in all types of construction, including commercial and residential developments and professional athletic facilities. While Hanna’s growth in Tuscaloosa positively impacts our community, it also strengthens the Alabama company’s presence in the steel tubing industry, which is a win-win for us all.”

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