Iron & Steel Mills

The 200 iron and steel producers in the US process iron ore, scrap metal, and other raw materials into semi-finished steel products. Products include iron ore, steel sheets (cold or hot rolled), strips, bars, plates, pilings, and rails. Major customers include fabricators, manufacturers, intermediate steel processors, and service centers that convert semi-finished steel into finished goods. Some companies are vertically integrated and may own facilities to produce raw materials and/or finished steel products.

Competition From Alternative Materials

Depending on the end use, steel products compete with goods made from concrete, aluminum, plastics, wood, and composites.

Competition From Imports

Imports account for about 24% of US steel consumption.

Sep 23, 2026 - Hyundai Breaks Ground on LA Steel Mill

• Hyundai Steel is moving ahead with a $5.8 billion steel mill in Louisiana that will add significant new capacity to the US steel industry, the company reported in September. Scheduled to begin production in 2029, the mill will produce 2.7 million metric tons of hot- and cold-rolled steel annually, primarily for automotive customers, and create 1,300 direct jobs, according to Hyundai. The plant will supply Hyundai and Kia factories as well as other US automakers, strengthening the US automotive steel supply and shortening delivery times. The project could also increase competition for existing US steelmakers as new capacity enters the market. The mill will combine direct-reduced iron production with electric arc furnaces and advanced finishing operations. Hyundai says the process will cut carbon emissions by about 70% compared with its conventional blast furnace process, potentially increasing competition in lower-carbon automotive steel.
• The surge in energy prices due to the conflict in the Middle East has raised the fundamental cost structure for iron ore producers, according to an analysis by UBS, IndexBox reports. Rising energy costs are reshaping iron ore markets, with direct implications for both iron and steel mills. Higher oil prices are increasing shipping and production costs for iron ore, which raises the overall cost of raw materials used by steel producers. As a result, iron ore prices are stabilizing at higher levels, even amid weaker demand and elevated inventories. For steel mills, this means persistent input cost pressure, as elevated energy expenses push up the cost of iron ore supply globally. The steepening of the industry cost curve also limits low-cost supply, reducing price volatility but keeping prices supported. Additionally, supply constraints among higher-cost or distant producers may tighten availability, potentially affecting sourcing strategies for mills.
• US steel manufacturer Cleveland-Cliffs posted higher third-quarter revenue and said demand for steel produced in the US was rising due to the Trump administration’s tariffs, The Wall Street Journal reports. The Cleveland-based steelmaker posted sales of $4.73 billion in its latest quarter, up from $4.57 billion the year before, a 4.1% increase. The company credited the 50% tariff on imported steel for helping it sign new supply deals with all major US automotive original equipment manufacturers, according to WSJ. In response to the Trump administration’s moves to boost domestic production of rare earth metals, Cleveland-Cliffs CEO told WSJ that the company is looking to expand its presence in domestic rare-earth metal production and is examining mining sites in Michigan and Minnesota that show key indicators of rare-earth minerals.
• Producer prices for iron and steel mills jumped 24.5% in August compared to a year ago, after rising 11% in the previous August-to-August annual comparison, according to the latest US Bureau of Labor Statistics data. Industry producer prices have been rising steeply since late 2025 due primarily by tariffs that have reduced import competition and allowed domestic mills to raise prices, along with rising raw material costs. Employment by the industry was relatively flat year over year in July, while the average wage at primary metals manufacturers rose 4.9% YoY in August to $30.29 per hour, easing from its high in April, BLS data show.

Industry size & Structure

The average iron or steel mill operates 1-2 locations, employs about 375 workers and generates about $500 million annually.

• The iron and steel mill industry consists of about 200 companies that employ 75,000 workers and generate about $100.5 billion annually.
• The industry is highly concentrated and dominated by large companies. The top 20 companies account for 94% of industry sales.
• Some companies are vertically integrated, and may own facilities to produce raw materials and/or finished steel products.
• Large domestic steel manufacturers include Nucor, Cleveland-Cliffs, Commercial Metal Company (dba CMC), Steel Dynamics (SDI), and US Steel. Some large companies have foreign operations.
• Construction accounts for about 31% of net iron and steel shipments, followed by steel service centers/distributors (26%) and the automotive industry (15%).
• Indiana accounts for an estimated 19% of total raw steel production, followed by Ohio, 8%, Texas, 5%, and Pennsylvania, 4%, according to the US Geological Survey.