Tariffs Taking Effect on all Foreign Steel and Aluminum Imports Without Exception or Exclusion
Greenwave Provides 100% Domestically-Sourced Scrap Metal to Nucor, Sims, Cleveland-Cliffs, and Georgia-Pacific
Prices for Scrap Steel have Surged More than 20% the Past Month and are Expected to Go Higher
Upcoming Tariffs on Copper Imports Expected to Further Accelerate Greenwave's Revenue Growth and Margin Expansion
CHESAPEAKE, Va., March 10, 2025 /PRNewswire/ -- Greenwave Technology Solutions, Inc. (Nasdaq: GWAV) ("Greenwave" or the "Company"), today announced that its margins have expanded significantly due to surging prices for scrap steel – already up 20% since early February and expected to go higher – ahead of steel and aluminum import tariffs taking effect on March 12, 2025.
Through its wholly-owned subsidiary, Empire, Greenwave operates the #1 scrap metal chain in Hampton Roads -- home to the world's largest Naval Base and major defense contractors, providing a consistent supply of military-grade scrap metal.
Greenwave operates 13 metal recycling facilities in Virginia, North Carolina, and Ohio, providing 100% domestically-sourced scrap metal to Nucor, Sims, Cleveland-Cliffs, Georgia-Pacific, alongst other industry titans.
Unlike country-specific tariffs which are often modified, metal import tariffs significantly strengthen America's national security and are expected to remain in effect for the foreseeable future.
Fortress of Licenses: A Competitive Moat
Greenwave holds a portfolio of highly coveted operational licenses for the Company's metal recycling facilities. These licenses, often protected by grandfathered municipal codes, provide significant barriers to entry to competitors in Greenwave's tightly regulated markets.
Key highlights include:
Norfolk, VA Facility: Positioned near the largest U.S. Naval Base, Greenwave's Norfolk facility benefits from a steady influx of prime scrap metal and holds one of the only Virginia Department of Motor Vehicles automotive recycler/demolisher licenses in the city.
Virginia Beach, VA Facility: Greenwave operates the sole metal recycling facility in the state's largest city, Virginia Beach, strategically located directly across the street from NAS Oceana Master Jet Base and the region's thriving industrial core.
Portsmouth, VA Facility: A cost-effective hub for domestic and international shipments due to its proximity to the Port of Virginia, the Company's Portsmouth facility holds a license protected by grandfathered regulations.
Positioning for a Strategic Transaction Greenwave recently acquired the real estate for seven of its core facilities – thus reducing the Company's annual rent expenses by approximately $1.7 million, enhancing cashflow and positioning the Company for potential high-value strategic transactions.
Upcoming Growth Catalysts Greenwave is set to benefit from the 2025 opening of Nucor Corporation's state-of-the-art steelmaking facility in Lexington, North Carolina(1). The facility's staggering 430,000-ton annual processing capacity, consisting of nearly 100% recycled materials, will significantly increase regional demand for recycled steel(1).
Greenwave stands as one of North Carolina's largest suppliers of recycled steel, operating five metal recycling facilities and an industry-leading American Pulverizer 60x85 shredder. The Company has a proven track record of supporting Nucor's operations, supplying its Hertford mill with steel for critical applications, including bridges, heavy equipment, and warships vital to American national security interests, including the $13 billion USS Gerald Ford aircraft carrier(2).
Scrap Metal Scarcity to Drive Margin Growth: Greenwave's Hampton Roads Hub Optimally Positioned for Trump's Shipbuilding Boom There is a limited supply of scrap metal in each market—a finite resource that even soaring prices can only stretch so far. With President Trump's shipbuilding initiative poised to further drive demand for America's limited domestic scrap metal, Greenwave's strategic Hampton Roads hub optimally positions the Company to capitalize on this unique opportunity in a red-hot market.
About Greenwave Technology Solutions, Inc. Greenwave Technology Solutions, Inc. (Nasdaq: GWAV) operates 13 metal recycling facilities supplying industry titans with 100% domestically-sourced metals. Headquartered in Chesapeake, VA, Greenwave plays a critical role in infrastructure projects and U.S. national security, with operations across Virginia, North Carolina, and Ohio.
Forward-looking Statements This press release contains certain forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These include, without limitation, statements about its revenue growth, opening of additional locations, margin expansion and cashflow projections. These statements are identified by the use of the words "could," "believe," "anticipate," "intend," "estimate," "expect," "may," "continue," "predict," "potential," "project" and similar expressions that are intended to identify forward-looking statements. All forward-looking statements speak only as of the date of this press release. You should not place undue reliance on these forward-looking statements. Although the Company believes that its plans, objectives, expectations and intentions reflected in or suggested by the forward-looking statements are reasonable, the Company can give no assurance that these plans, objectives, expectations or intentions will be achieved. Forward-looking statements involve significant risks and uncertainties (some of which are beyond the Company's control), assumptions and other factors that could cause actual results to differ materially from historical experience and present expectations or projections. Actual results may differ materially from those in the forward-looking statements and the trading price for the Company's common stock may fluctuate significantly. Forward-looking statements also are affected by the risk factors described in the Company's filings with the SEC. Except as required by law, the Company undertakes no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise, after the date on which the statements are made or to reflect the occurrence of unanticipated events.
