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Steel production back to normal range after falling to nearly half capacity a year ago
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Steel production back to normal range after falling to nearly half capacity a year ago

Great Lakes steel production falls by 20,000 tons

Workers hold steel plate steady on a forklift at Alliance Steel in Gary.

What a difference a year makes.

Steel production in the United States had fallen to about half capacity at this time a year ago, near the onset of the coronavirus pandemic when auto factories across the country were being shut down in response to viral outbreaks. Now with vaccines being rolled out widely, steel production has returned to a more normal range.

Great Lakes steel production fell by 20,000 tons last week, while U.S. steel mills remained close to 80% of capacity, according to the American Iron and Steel Institute.

Steel mills in the Great Lakes region, clustered mainly along the South Shore of Lake Michigan in Northwest Indiana, made 603,000 tons of metal in the week that ended April 17, down 3.21% from 623,000 tons the previous week.

Overall, domestic steel mills in the United States made 1.77 million tons of steel last week, down 0.5% from 1.761 million tons the previous week, and up 42.7% as compared to 1.24 million tons the same time a year prior, when the onset of the coronavirus pandemic shut down auto plants and other factories, gutting the demand for steel.

So far this year, domestic steel mills in the United States have made 26.7 million tons of steel, a 0.1% decrease compared to the 26.66 million tons made during the same period in 2020.

U.S. steel mills have run at a capacity utilization rate of 77.1% through April 17, up from 73.7% at the same point in 2020, according to the American Iron and Steel Institute.

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Steel capacity utilization nationwide was 78% last week, which was up from 55.4% at the same time a year ago and up from 77.6% at the same time a week prior.

Steel production in the southern region, a wide geographic swath that encompasses many mini-mills and rivals the Great Lakes region in output, was 747,000 tons last week, up from 740,000 tons the week before. Volume in the rest of the Midwest rose to 183,000 tons, up from 175,000 tons the week prior.

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Business Reporter

Joseph S. Pete is a Lisagor Award-winning business reporter who covers steel, industry, unions, the ports, retail, banking and more. The Indiana University grad has been with The Times since 2013 and blogs about craft beer, culture and the military.

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