<PAGE>

                                                                    EXHIBIT 23.2

                        CONSENT OF INDEPENDENT AUDITORS


     We consent to the reference to our firm under the caption "Experts" and to
the use of our report dated January 31, 2002 (except for Note 3, as to which the
date is March 26, 2002, and Note 7, as to which the date is March 7, 2002) in
Amendment No. 1 to the Registration Statement (Form S-3 No. 333-90594) and
related Prospectus of Steel Dynamics, Inc. dated July 22, 2002, and to the
incorporation by reference therein of our report with respect to the
consolidated financial statements of Steel Dynamics, Inc. included in its Annual
Report (Form 10-K) for the year ended December 31, 2001, filed with the
Securities and Exchange Commission.


                                          /s/ Ernst & Young LLP

Fort Wayne, Indiana

July 19, 2002


