Nucor Corporation (NUE) and Cleveland-Cliffs Inc. (CLF) are two leading producers of steel and steel products in the United States. Charlotte, N.C.-based NUE operates through three segments–Steel Mills; Steel Products; and Raw Materials. It also produces ferrous and nonferrous metals and brokers ferrous and nonferrous metals, pig iron, hot briquetted iron (HBI), and galvanized sheet steel. Its products are sold by its in-house sales force and internal distribution and trading companies. In comparison, CLF in Cleveland, Ohio, is vertically integrated from mined raw materials and direct reduced iron to primary steelmaking and downstream finishing, stamping, tooling, and tubing. It offers flat-rolled steel products, custom-made pellets, and hot briquetted iron (HBI).
The resumption of industrial and construction activities blasted the steel industry out of its pandemic-lows last year. However, the largest steel producer, China, decided to curb its output to reduce its carbon emissions, which has led to a supply crunch worldwide and pushed steel prices higher in 2021. However, this has encouraged domestic companies to gain more market reach.
