U.S. steel production is back. For the first time since 1999, American steel production has surpassed Japan’s—further proof that President Trump's trade policy is working.
U.S. crude steel output increased to 3.1% in 2025, to 82 million tons, according to the World Steel Association, putting the country in third place globally, behind China and India, Newsmax reported.
The increased production comes as Trump placed 50% tariffs on imported steel and aluminum last year.
Domestic steel prices have also increased as a result of the tariffs.
Hot-rolled steel coils, used in manufacturing and construction, reached $983 a ton as of Jan. 12, the highest level since last May and nearly double the global export price, according to pricing tool SteelBenchmarker.com. Since last January, prices are up about 30%.
Amid the higher prices, U.S. domestic steel shipments increased 5% year-on-year in November, according to data from the American Iron and Steel Institute, reported by John Solomon’s Just the News.
The demand for steel comes from data centers and power generation facilities, which have surged as tech companies race to build the infrastructure needed to support artificial intelligence.
According to the Commerce Department, private-sector spending on data center construction more than doubled in the two years through last January.
Meanwhile, Japan’s Nippon Steel completed its $14.1 billion acquisition of U.S. Steel last June, with plans to pour billions more into American operations to mass-produce high-grade steel tailored for data centers and other advanced applications.
Leon Topalian, the CEO of U.S. steel producer Nucor, remarked that Trump’s tariffs were not hurting American manufacturing and, in fact, were a bright spot in the nation’s economy. “[T]he demand, the robustness that we see in this economy, again, I think 2026 is shaping up to be a very, very solid year for Nucor,” Topalian said.
The surge in U.S. steel production to 82 million tons—overtaking Japan for the first time in 25 years—isn’t an accident. It’s the direct result of aggressive 50% tariffs on imported steel and aluminum, which forced a reset of global trade dynamics. Prices for hot-rolled steel coils hit $983/ton, but that’s the cost of rebuilding domestic capacity after decades of offshoring.
And the increase in steel prices hasn’t had the negative effect on manufacturing predicted by the so-called experts.
Bloomberg reported US manufacturing activity in general unexpectedly expanded in January at the fastest pace since 2022, energized by solid growth in new orders and production.
The Institute for Supply Management’s manufacturing index rose to 52.6 from 47.9, according to data released Monday. Readings greater than 50 indicate expansion, and the latest figure topped all projections in a Bloomberg survey of economists.
Following nearly a year of contraction, the demand-related spike in factory activity is welcome news. Sustained growth would help provide reassurance that manufacturing is on the mend after languishing the past three years.
The ISM report showed a nearly 10-point increase in a gauge of new orders and a firm advance in the production index -- both of which indicated the fastest growth in nearly four years. Order backlogs expanded for the first time since 2022, while export orders also increased.
The strength in demand reflected in part a decline in a measure of customer inventories, which contracted by the most since mid-2022. Lean customer stockpiles have the potential of providing more of a tailwind for factory orders and production in the coming months.
Recent government data also indicated solid business investment late last year.
The real win? Tariff revenue is projected to exceed $500B annually, slashing deficits while funding tax relief. Critics called it chaos, but the data proves it’s leverage: manufacturing orders up 8%, exports projected to gain $200B, and Nippon Steel’s $14.1B acquisition of U.S. Steel signals long-term confidence.
U.S. crude steel output increased to 3.1% in 2025, to 82 million tons, according to the World Steel Association, putting the country in third place globally, behind China and India, Newsmax reported.
The increased production comes as Trump placed 50% tariffs on imported steel and aluminum last year.
Domestic steel prices have also increased as a result of the tariffs.
Hot-rolled steel coils, used in manufacturing and construction, reached $983 a ton as of Jan. 12, the highest level since last May and nearly double the global export price, according to pricing tool SteelBenchmarker.com. Since last January, prices are up about 30%.
Amid the higher prices, U.S. domestic steel shipments increased 5% year-on-year in November, according to data from the American Iron and Steel Institute, reported by John Solomon’s Just the News.
The demand for steel comes from data centers and power generation facilities, which have surged as tech companies race to build the infrastructure needed to support artificial intelligence.
According to the Commerce Department, private-sector spending on data center construction more than doubled in the two years through last January.
Meanwhile, Japan’s Nippon Steel completed its $14.1 billion acquisition of U.S. Steel last June, with plans to pour billions more into American operations to mass-produce high-grade steel tailored for data centers and other advanced applications.
Leon Topalian, the CEO of U.S. steel producer Nucor, remarked that Trump’s tariffs were not hurting American manufacturing and, in fact, were a bright spot in the nation’s economy. “[T]he demand, the robustness that we see in this economy, again, I think 2026 is shaping up to be a very, very solid year for Nucor,” Topalian said.
The surge in U.S. steel production to 82 million tons—overtaking Japan for the first time in 25 years—isn’t an accident. It’s the direct result of aggressive 50% tariffs on imported steel and aluminum, which forced a reset of global trade dynamics. Prices for hot-rolled steel coils hit $983/ton, but that’s the cost of rebuilding domestic capacity after decades of offshoring.
And the increase in steel prices hasn’t had the negative effect on manufacturing predicted by the so-called experts.
Bloomberg reported US manufacturing activity in general unexpectedly expanded in January at the fastest pace since 2022, energized by solid growth in new orders and production.
The Institute for Supply Management’s manufacturing index rose to 52.6 from 47.9, according to data released Monday. Readings greater than 50 indicate expansion, and the latest figure topped all projections in a Bloomberg survey of economists.
Following nearly a year of contraction, the demand-related spike in factory activity is welcome news. Sustained growth would help provide reassurance that manufacturing is on the mend after languishing the past three years.
The ISM report showed a nearly 10-point increase in a gauge of new orders and a firm advance in the production index -- both of which indicated the fastest growth in nearly four years. Order backlogs expanded for the first time since 2022, while export orders also increased.
The strength in demand reflected in part a decline in a measure of customer inventories, which contracted by the most since mid-2022. Lean customer stockpiles have the potential of providing more of a tailwind for factory orders and production in the coming months.
Recent government data also indicated solid business investment late last year.
The real win? Tariff revenue is projected to exceed $500B annually, slashing deficits while funding tax relief. Critics called it chaos, but the data proves it’s leverage: manufacturing orders up 8%, exports projected to gain $200B, and Nippon Steel’s $14.1B acquisition of U.S. Steel signals long-term confidence.
