Steel output rises in late January

Steel production in the United States rose by about 0.5 percent, or 8,000 tons, the week ending Jan. 30, 2021, compared with the prior week. However, according to the Washington-based American Iron & Steel Institute (AISI), domestic raw steel production of 1.725 million tons was down by 9.5 percent compared with the comparable week in 2020.

The AISI figures indicate steel output has not yet returned to pre-COVID-19 levels. However, the 76.1 percent capability utilization, or capacity, rate for the week ending Jan. 30, 2021, represents a significant rebound from the late April-early May 2020 capacity rate low point of 51.1 percent.

In the last week of January 2021, the AISI’s Southern region led in output, with 710,000 tons. The South was followed by output of 608,000 tons in the Great Lakes region; 186,000 tons in the Midwest region; 149,000 tons in the Northeast region; and 72,000 in the Western region.

America’s largest steel producer, Charlotte, North Carolina-based Nucor Corp., reported a profitable fourth quarter in 2020 and expressed optimism in its outlook for the first quarter of 2021.

Pittsburgh-based U.S. Steel Corp., meanwhile, also managed a profitable fourth quarter, but reported a significant net loss for all of 2020. Looking forward, the company expresses optimism about its electric arc furnace (EAF) assets in Alabama and Arkansas. However, the firm indicated in a conference call it has no immediate plans to restart its idled basic oxygen furnace (BOF) “A” in Granite City, Illinois, or tube production facilities in Ohio and Texas.