Prices
Weekly Raw Steel Production at 12 Week High
Written by Brett Linton
January 19, 2016
For the week ending January 16, 2016, the American Iron & Steel Institute (AISI) estimated the U.S. steel industry produced 1,652,000 net tons of raw steel, a 3.6 percent increase over the previous week but a 8.6 percent decrease over the same week one year ago. The estimated capacity utilization rate is 69.1 percent, up from 66.7 percent last week but down from 76.4 percent this time last year.
The last time weekly raw steel production was this high was the week ending October 24, 2015 when 1,667,000 tons were produced at a capacity utilization rate of 69.7 percent.
This is not a level that the domestic mills will be pleased with. However, it is an improvement and perhaps a sign that the inventory reductions and shrinking foreign steel imports are beginning to help the mill’s order books.
Estimated total raw steel produced for 2016 YTD is reported to be 4,686,000 tons, down 13.4 percent from the 5,412,000 tons produced during the same period in 2015. The average capacity utilization rate for 2016 YTD is estimated to be 65.3 percent, down from 76.4 percent for 2015 YTD.
Week-over-week changes per district are as follows: Northeast at 200,000 tons, down 7,000 tons. Great Lakes at 628,000 tons, up 9,000 tons. Midwest at 190,000 tons, up 4,000 tons. South at 559,000 tons, up 45,000 tons. West at 75,000 tons, up 7,000 tons. Total production was 1,652,000 tons, up 58,000 tons.
SMU Note: Below is a graphic showing the weekly raw steel production history. To use the graphs interactive capabilities, you must view it on our website. You can do this by clicking here. If you need help navigating the website or need to know your login information, contact us at info@SteelMarketUpdate.com or by calling 800-432-3475.
Brett Linton
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