When you think of steel, do you think of gas? When you think of gas, do you think of steel? Chances are you don’t, but you should start, because their partnership is changing America’s steel landscape.
In early October, representatives from the North American steel industry attended the Consumer Energy Alliance’s Energy and Manufacturing Summit. One of the main topics of conversation was the effect that natural gas has on the American steel industry. Thus far, it has a major positive impact. Let’s look at US Steel, the Rust Belt heavyweight, for instance. Due to cheap natural gas and pipeline development, US Steel has added more than 5,000 jobs in addition to lower costs of production and an increased demand for its tubular products. These benefits can lift any company to a new level of prominence in addition to revitalizing the Rust Belt.
Clearly, the partnership between natural gas and steel has so far been a fortitudinous one and US Steel isn’t the only one reaping the benefits. Other companies across the country are joining in on this gas craze. They have reason to, as reported in this article courtesy of Bizjournals.com. Justine Coyne writes, “Smith [senior director of government relations for the American Iron ad Steel Institute] said more steel producers are building or looking to build Direct Reduced Iron facilities, which replaces the traditional method of using coke as a feedstock with the use of natural gas. Smith said energy will continue to play a prominent role in the industry’s future.”
Tradition, it seems, is being replaced by the new. That’s what happens when you let innovation run its course. At Florida Pipe & Steel, we support such innovation. The American steel industry is changing before our very eyes and with partnerships like the one with natural gas leading the way, the country will be better off for it.