SMU Construction Analysis: CPIP

Written by: Peter Wright

Raw steel production in 2012 was 97.8 million tons, up by 3.5 million tons from 2011. Steel mill shipments direct to the construction industry in 2012 were 15.6 million tons, (Figure 1). Shipments from service centers and converters to the construction industry are not classified but by proportion are about 12 million tons. In addition, steel consumption in the production of transportation equipment for construction products, off highway equipment, cranes, etc. is considerable. Therefore the total impact of construction on domestic steel demand is in the order of 30 million tons per year or about 30 percent of total steel mill shipments.