According to latest AISI data, the United States steel industry has shown resilience in the face of global economic uncertainties, as evidenced by the latest production figures released for the week ending September 21, 2024. The domestic raw steel production reached 1,707,000 metric tons, marking a 0.9% increase compared to the same period in the previous year. This growth, albeit modest, signals a positive trend in the steel sector's recovery and adaptation to changing market dynamics.
The capability utilization rate for the week stood at 76.9%, a notable improvement from the 74.4% recorded in the corresponding week of 2023. This increase in utilization rate suggests that steel mills are operating more efficiently, potentially in response to improved demand or strategic operational adjustments. However, it's worth noting that the current week's production represents a 2.4% decrease from the previous week, indicating short-term fluctuations in production levels.
A regional breakdown of the production figures reveals interesting patterns across the United States. The Southern district emerged as the powerhouse of steel production, contributing 742,000 metric tons in the week ending September 21, 2024. This was followed by the Great Lakes region with 583,000 metric tons, underscoring the continued importance of traditional steel-producing areas. The Midwest, North East, and Western districts rounded out the production figures with 204,000, 125,000, and 53,000 metric tons respectively.
When examining the year-to-date production figures, a slight downturn becomes apparent. The adjusted production through September 21, 2024, totaled 64,566,000 metric tons, with a capability utilization rate of 76.8%. This represents a 1.6% decrease from the 65,634,000 metric tons produced during the same period last year. The marginal decline in year-to-date production may reflect ongoing challenges in the global steel market, including fluctuating raw material costs and international trade tensions.
