Davis Index: Market Intelligence for the Global Metals and Recycled Materials Markets

US raw steel production increased by 1pc to 1.56mn nt (1.42mn mt) with a capacity utilization rate of 70.4pc for the week ended October 31, 2020, according to the American Iron and Steel Institute (AISI).  


The US steel industry took three months to breach the 70pc utilization barrier since it reached 60pc of its capacity in the second week of August. Only a single-digit variation is seen in capacity utilization compared to pre-pandemic levels at present. 


Compared to the same week in 2019, output declined by 13.7pc from 1.80mn nt, and capacity utilization fell by 7.6pc. From January to Oct 24, production has declined by 18.9pc to 65.8mn nt from 81.2mn nt during the same period in 2019. Total capacity declined by 2.65mn nt on an annual basis for the week ended Oct 31. 


Regionally, compared to the same week a year ago, production in the North East declined by 18.5pc to 160,000nt; Great Lakes’ output fell by 18.8pc to 569,000nt; Output in the Midwest fell by 4.5pc to 173,000nt; the South’s production declined by 31.5pc to 583,000nt; the West’s output fell by 4.2pc to 72,000nt. 


Compared to last week, the regions’ production increased, save for the South, where production fell for the first time since June, by 2.9pc to 583,000nt from 600,000nt. In the Midwest, production fell by 1,000nt over the prior week to 73,000nt. However, these declines were offset by an 18.5pc rise in the North East’s output to 160,000nt, compared with 135,000nt in the week ended Oct 24.


The crude steel tonnage provided by AISI is compiled by combining weekly production figures from 50pc of domestic producers and monthly production data. 

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