Earlier this month, US Steel announced plants to reopen a closed manufacturing factory in Keewatin, MN, creating more than 200 new jobs in the process. News of the company’s decision comes shortly after an interview between CNBC and US Steel, in which CEO Mario Longhi said he was optimistic about the new tax regulations proposed by President-elect Trump, and that he’s consider rehiring employees who were previously laid off at the Keewatin manufacturing facility.
“We already structured to do some things, but when you see in the near future improvement to the tax laws, improvements to regulation, those two things by themselves may be a significant driver to what we’re going to do,” said US Steel CEO Mario Longhi. “I’d be more than happy to bring back the employees we’ve been forced to lay off.”
Steel is often prized over other metals because of its unique characteristics. You might be surprised to learn that steel is lighter than wood (well, most varieties of wood, at least). This makes it an excellent choice of material in applications where lightweight materials are needed. Steel is also easily recycled. When a consumer or company no longer needs a steel product, they can recycle it; thus, allowing others to reuse it. Furthermore, steel is incredibly strong, with properties that allow it to withstand strong winds, rain, pressure and other forces. All of these characteristics make steel is a popular choice for many applications.
It’s estimated that roughly two-thirds of all steel produced in the United States is made via the Electric Arc Furnace (EAF) technique. The remaining portion of steel is produced using oxygen furnaces. Regardless of how it’s made, though, there’s no denying the fact that steel is a key commodity produced by American manufacturing companies.
While steel has always been a strong commodity for America, it’s becoming even more significant as of late. According to Bloomberg Americas Iron/Steel Index, production increased by 86% in 2016, marking the largest increase since 2003. This isn’t a trend that’s likely to slow down anytime soon, either. On the contrary, market experts believe steel will continue to play an important role in the US economy and infrastructure.
Of course, US Steel is just one of many steel manufacturers in America. But with news coming that it places to reopen its once-closed manufacturing facility, perhaps other steel manufacturers will follow in its footsteps.