In 2024, the investment in the US’ production capacity expansion from electric arc furnaces (EAF) was expected to reach high, and many projects would be completed and put into operation. Steel manufacturers in the US have declared that 2.2 million tons of production capacity have been added annually since 2020.

According to the estimation, the US would increase nearly 16.1 million short tons of new EAF capacity annually from the fourth quarter of 2023 through 2025.

EAFs account for two-thirds of the current US steel production capacity. The increased development of EAFs drives demand for prime scrap. Meanwhile, basic oxygen furnace (BOF) manufacturers also seek to optimize their production and cut carbon emissions.