Features

AISI: Raw steel production slips to 7-week low
Written by Brett Linton
January 6, 2025
Raw steel mill production declined last week for the second-consecutive week, according to data released by the American Iron and Steel Institute (AISI). Domestic production is now at the lowest level seen since mid-November. This comes just two weeks after production had recovered to a three-month high.
Total US mill raw production was estimated at 1,635,000 short tons (st) through the week ending Jan. 4. Production declined by 23,000 st or 1.4% from the previous week and was 1.3% lower than the same week last year (Figure 1). While down, production is still higher than the 20-month low of 1,606,000 st recorded back in October.

The mill capability utilization rate last week was 73.6%. This is lower than both the prior week’s rate (74.7%) and the same week one year ago (73.7%).
Weekly production by region is as follows (weekly changes shown in parentheses):
- Northeast – 124,000 st (down 7,000 st)
- Great Lakes – 544,000 st (down 19,000 st)
- Midwest – 220,000 st (down 3,000 st)
- South – 693,000 st (up 11,000 st).
- West – 54,000 st (down 5,000 st)
Editor’s note: The raw steel production tonnage provided in this report is estimated and should be used primarily to assess production trends. The monthly AISI “AIS 7” report is available by subscription and provides a more detailed summary of domestic steel production.

Brett Linton
Read more from Brett LintonLatest in Features

Steel market chatter this week
On Monday and Tuesday of this week, SMU polled steel buyers on an array of topics, ranging from market prices, demand, and inventories to imports and evolving market events.

Final Thoughts
Sure, demand isn’t as good the market had hoped it would be earlier this year. But assuming it doesn’t fall of a cliff, buyers will have to restock at some point. And that might give domestic mills enough leverage to raise prices again.

AISI: Raw steel production dips, remains near multi-month high
Following three weekly increases, domestic mill output edged lower last week, according to the American Iron and Steel Institute (AISI).

Nippon eyeing new $4B U.S. Steel mill to sweeten deal: Report
Nippon Steel could build a new domestic U.S. Steel mill with a total investment of $4 billion.

Final Thoughts
While I would anticipate market sentiment to pivot and improve if all the questions around tariffs were answered, that still leaves us with a few other factors.