The Zacks Steel Producers industry has clawed its way back from the crisis wrought by coronavirus, taking succour from a recovery across major steel-consuming industries and a rebound in China’s steel demand from the pandemic-induced slowdown.
A revival in steel demand in major end-markets such as automotive and construction represents a tailwind for the industry. Demand in China has also picked up on the back of government stimulus. Moreover, steel prices have gained strength on an upturn in demand. Nucor Corporation (NUE), Companhia Siderurgica Nacional (SID), TimkenSteel Corporation (TMST) and Olympic Steel, Inc. (ZEUS) are well placed to gain from these trends.
About the Industry
The Zacks Steel Producers industry serves a wide range of end-use industries such as automotive, construction, appliance, container, industrial machinery, transportation, and oil and gas with various steel products. These include hot-rolled and cold-rolled coils and sheets, hot-dipped and galvanized coils and sheets, reinforcing bars,