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Iron and steel industry in the United States

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(Redirected fromSteel industry in the United States)
Overview of the iron and steel industry of the United States
This article is part ofa series on the
Economy of
the United States
Coat of arms of the United States

The U.S. is the third-largest producer of rawsteel worldwide, after China and India, and is ranked sixth inpig iron production. In 2024, the industry produced over 79 million net tons of crude steel.[1] Approximately 25% of the steel used in the U.S. is imported.[2]

Major steel-makers in the United States includeCleveland-Cliffs,Commercial Metals Company,Nucor,Steel Dynamics,Nippon Steel, andCarpenter Technology Corporation.

Employment as of 2014 was 149,000 people employed in iron and steel mills, and 69,000 in foundries. The value of iron and steel produced in 2014 was $113 billion.[3] As of 2020, about 0.3% of the US population is employed by the steel industry,[4] and by 2025 steel mills were only employing 83,600 people, making the industry a relatively small portion ofUS manufacturing despite outsize political influence.[5]

Types of steel mills

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Steel mills in the U.S. fall into two categories: traditional integrated mills that process iron ore into steel and mini-mills that melt steel scrap to produce new steel. Mini-mills now dominate U.S. steel production.

Integrated steel mills

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In 2017, there were 9 operating integrated steel mills in the United States (plus one idled), down from 13 in 2000. Integrated mills produced 31% of the steel produced in the US.

In an integrated steel mill, iron ore is reduced to metallic iron. In the US, this is done inblast furnaces and since 2014 again usingdirect reduced iron furnaces inNucor's plant inLouisiana as well as another DRI plant (producing a compactified version of DRI called hot briquetted iron, or HBI) in Texas byVoestalpine. Some of the iron from the blast furnaces is converted to steel; today this is done in basic oxygen furnaces. Iron ore, coke, and flux are fed into the blast furnace and heated. The coke reduces the iron oxide in the ore to metallic iron, and the molten mass separates into slag and iron. Some of the iron from the blast furnace is cooled, and marketed as pig iron; the rest flows into basic oxygen furnaces, where it is converted into steel. Iron and steel scrap may be added to both the blast furnace and the basic iron furnace.

US Steel operates a number of integrated steel mills, including theGary Works inGary, Indiana. They also operate theEdgar Thomson Works, which is the iron- and steel-making unit of the Mon Valley Works, which includes three other related plants. The company operates the Great Lakes Works,[6] and Granite City Works.[7]

Cleveland-Cliffs operates every integrated steel mill: inEast Chicago, Indiana,Burns Harbor, Indiana, andCleveland, Ohio.[8]

The Ashland Works was demolished.

Current integrated steel mills in the US

NameLocationOwnerStatus and Date
Gary WorksGary, IndianaUS SteelOperating, February 2015[9]
Mon Valley Works - Irvin Plant,Edgar Thomson Steel WorksNorth Braddock, PennsylvaniaUS Steel
Indiana Harbor WorksEast Chicago, IndianaCleveland-Cliffs
Burns Harbor WorksBurns Harbor, IndianaCleveland-Cliffs
Middletown WorksMiddletown, OhioCleveland-Cliffs
Cleveland WorksCleveland, OhioCleveland-Cliffs
Dearborn WorksDearborn, MichiganCleveland-CliffsOne operating blast furnace ("A")

Formerly Severstal Dearborn (2004–2014)

Previously Rouge Steel (1989–2004)

Previously Ford Rouge Plant (1910–1989)

Great Lakes WorksRiver Rouge and Ecorse, MichiganUS SteelBlast furnace and iron production idled December 2019.[6] Automotive finishing lines remain open as of 2024.[10]
Granite City WorksGranite City, IllinoisUS SteelResumed operation 2018[11]

Idled indefinitely in 2023.[12]

Fairfield WorksFairfield, AlabamaUS SteelBlast furnace closed permanently in August 2015.[13] Electric arc furnace opened in 2020 and is currently operating as of 2024.[14]

Specialty steel mills / minimills

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There were about 112 minimills or specialty mills in the US, which in 2013 produced 59% of US total steel production. The specialty mills use iron and steel scrap, rather than iron ore, as feedstock, and melt the scrap in electric furnaces.

Notable Specialty and Mini-Mills in the US

NameLocationOwnerStatus and Date
Brackenridge WorksBrackenridge, PennsylvaniaAllegheny Technologies
formerColorado Fuel and Iron plantPueblo, ColoradoOregon Steel MillsFormer integrated mill
Evraz Claymont SteelClaymont, DelawareEvraz GroupClosed
Mississippi SteelFlowood, MississippiNucor
Butler WorksButler, PennsylvaniaCleveland-Cliffs, Inc.Grain Oriented Electrical Steel

Raw materials

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The two main inputs into iron- and steel-making are a source of iron and a source of energy. Additional requirements are a fluxing material to remove the impurities, and alloy metals to give particular properties to the metal.

Raw materials used in US iron and steel production, 2012

Inputmetric tonsPurpose
Iron ore46,900,000Iron source
Iron and steel scrap104,100,000Iron source
Coke9,490,000Reducing agent
Lime5,730,000Flux
Fluorspar47,800Flux
Manganese382,000Alloy
Chromium251,000Alloy
Nickel194,000Alloy
Molybdenum11,800Alloy
Vanadium2,500Alloy
Tungsten123Alloy
Source: US Geological Survey, Minerals Yearbooks, 2012 and 2013.[15]

Iron ore

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Main article:Iron mining in the United States

Iron and steel scrap

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Two-thirds of the iron and steel produced in the US is made from recycled scrap, rather than from iron ore. In 2014, 81 million mt of iron and steel were produced from scrap.[16] Most steel from scrap is produced using electric arc furnaces.

Coke

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Coke, derived fromcoking coal, reduces iron ore (iron oxides) to metallic iron.

Flux

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Flux materials, like lime, are added to the furnace to lower the melting point and remove impurities as slag. Other common fluxes include dolomite, soda ash, and fluorspar.

Alloy metals

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Other metals are commonly added to steel to producealloy steels of various types. Common alloy metals are manganese, nickel, molybdenum, chromium, and vanadium.Stainless steel commonly contains a minimum of 10.5% chromium, and may also contain significant amounts of nickel or molybdenum.

Slag

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Main article:Slag

Slag, a byproduct of iron and steel-making composed primarily of highly impure glass, would normally be a waste product. However, it is in demand as an aggregate in concrete, asphalt paving, and construction fill. In 2014, the industry produced and marketed about 16.0 million mt of slag, worth an estimated $270 million.[17]

International trade

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Since the 1960s, the U.S. has been a major importer of steel. In 2014, it exported 11 million tons but imported 39 million tons, with net imports making up 17% of consumption.[18]

Imports by Top 10 source countries
YTD through December 2017[19][20][21]
No.CountryVolume
(metric tons)
PercentValue
(k$)
Percent
1Canada5,675,81616%5,119,94418%
2Brazil4,665,42814%2,442,4688%
3South Korea3,401,40510%2,785,76410%
4Mexico3,155,1179%2,501,2269%
5Russia2,866,6958%1,431,2735%
6Turkey1,977,8666%1,182,9984%
7Japan1,727,8445%1,657,9086%
8Germany1,380,4344%1,833,7936%
9Taiwan1,128,3563%1,261,0334%
10India743,0212%732,4253%
Others7,750,52522%8,189,50328%
Total34,472,507100%29,138,335100%

Since the 1800s, the US steel industry has generally had a history of supportingtariffs on foreign steel imports, whichBloomberg has described as a "the reward delivered...in apatronage system" tied to a general tendency forheavy industry to favoreconomic protectionism. Presidents from both theRepublican andDemocratic parties have been known to cooperate with these demands. This has been cited as a contributing factor inBiden administration's skepticism towards the 2023-2024proposed acquisition of U.S. Steel by Nippon Steel.[5]

Tariffs instituted during the first term of President Donald Trump starting in 2019, which some of the biggest corporate steel buyers in the country criticized for their inclusion of exemptions, succeeded at increasing investment in the country's steel industry, but did not fare well in terms ofjob creation. Bloomberg has also argued that evidence suggests those tariffs led to arecession in theUS manufacturing industry as a whole via rising prices.[5]

Following the 2024 U.S. presidential election, the U.S. steel industry actively advocated for stronger trade protections, including reimposing tariffs on steel imports from the United Kingdom, European Union, and Japan to address trade-distorting practices. The industry argued that steel tariffs imposed in 2018 boosted steel prices, profits, and employment. They have also publicly called for stricter enforcement of trade laws and increased tariffs on steel-intensive products from China and Southeast Asia.[22]

Lobbying

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Groups that lobby for the US steel industry in Washington includeThe Coalition for a Prosperous America and theAlliance for American Manufacturing[5]

History of US iron- and steel-making

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Main article:History of the iron and steel industry in the United States
Graph of US iron and steel production, 1900–2014, data from USGS

The US iron and steel industry has paralleled the industry in other countries in technological developments. In the 1800s, the US switched from charcoal to coke in ore smelting, adopted the Bessemer process, and saw the rise of very large integrated steel mills. In the 20th century, the US industry successively adopted the open hearth process, then the basic oxygen furnace. Since the American industry peaked in the 1940s and 1950s, the US industry has shifted to small mini-mills and specialty mills, using iron and steel scrap as feedstock, rather than iron ore.

See also

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References

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  1. ^"December 2024 crude steel production and 2024 global crude steel production totals".World Steel Association (Press release). 24 January 2025.
  2. ^Lv, Amy; Jackson, Lewis; Arora, Neha; Guarascio, Francesco; Jin, Hyunjoo (June 4, 2025). Perry, Michael; Fernandez, Clarence; Feast, Lincoln (eds.)."The top sources of U.S. steel and aluminium imports".Reuters.
  3. ^Iron and Steel, Mineral Commodities Summaries.
  4. ^Rickard, Stephanie J. (2020)."Economic Geography, Politics, and Policy"(PDF).Annual Review of Political Science.23:187–202.doi:10.1146/annurev-polisci-050718-033649.
  5. ^abcdDonnan, Shawn (March 10, 2025)."Steel Sits at the Core of Trump's Tariff Ideology".Supply Lines Newsletter. Bloomberg. Retrieved10 March 2025.
  6. ^abDeaux, Joe (2019-12-20)."U.S. Steel to cut 1,545 Michigan jobs as weakness overwhelms Trump's protection".Los Angeles Times. Retrieved2019-12-21.
  7. ^US Steel Corp.,FacilitiesArchived 2016-02-16 at theWayback Machine, accessed 1 August 2015.
  8. ^2014 ArelorMittal USA FactbookArchived 2015-09-15 at theWayback Machine.
  9. ^"US Steel closes Gary Works coke plant," Chicago Tribune, 26 Feb. 2015.
  10. ^"Steel mill at Zug Island still operating with a fraction of the workforce it once had".Detroit Free Press. 2021-01-05.
  11. ^"USW Welcomes News of Restart at U.S. Steel Granite City Works".
  12. ^"U.S. Steel idles steelmaking at Granite City Works indefinitely".fox2news. 2023-11-28. Retrieved2024-02-01.
  13. ^"U.S. Steel to End Operations at Alabama's Fairfield Works Mill".NPR.org.
  14. ^"U.S. Steel's Fairfield Works launches new, advanced electric arc furnace facility".
  15. ^US Geological Survey,Minerals Yearbook, 2012 and 2013.
  16. ^Michael D. Fenton,Iron and steel scrap, US Geological Survey, Mineral Commodity Summary 2015, Jan. 2015.
  17. ^Hendrik G. van Oss,Iron and Steel Slag, US Geological Survey, Mineral Commodity Summaries, Jan. 2015.
  18. ^US Geological Survey,[1], 2015.
  19. ^"Steel Imports Report: United States"(PDF). International Trade Administration. December 2017. Archived fromthe original(PDF) on 2018-02-20. Retrieved2018-02-19.
  20. ^"Imports of Steel Products". United States Census Bureau.
  21. ^"Exhibit 4. U.S. Imports For Consumption of Steel Products From Selected Countries and Areas"(PDF). United States Census Bureau.
  22. ^Tita, Bob (2024-12-02)."Why This U.S. Industry Is Pushing Trump for Even More Tariffs".The Wall Street Journal. Retrieved2024-12-02.

External links

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