The U.S. outpaced Japan in crude steel production for the first time in 26 years in 2025, becoming the world’s third-largest steel producer behind China and India.
The United States produced 82.0 million tons of steel in 2025, up 3.1% from the previous year, according to the World Steel Association (WSA). This was the first time U.S. steel production outpaced Japan in 26 years, Nikkei Asia reported. The growth was in large part driven by demand for AI data center and power plant construction and President Donald Trump’s tariffs. (RELATED: Trump Strikes Four New Trade Deals With US Allies)
Trump hit steel and aluminum imports with a further 25% tariff in March 2025 and raised it to 50% in June, the outlet reported. Steel imports as a percentage of U.S. consumption fell from approximately 25% in early 2025 to 14% in November, according to Argus Media
The American steel company Nucor said 2026 appears promising on the demand side, with growth expected to be driven by data center construction, infrastructure and work on the fence at the U.S. border with Mexico. The company intends to finish building a new 3-million-short-ton-per-year West Virginia sheet mill by the close of 2026.
US steel production exceeds Japan’s for first time in 26 years https://t.co/fCUBTT1HZJ
— Nikkei Asia (@NikkeiAsia) January 26, 2026
Japan produced 80.7 million tons of steel in 2025, a 4% decrease from 2024, according to the WSA. Japan’s previous levels of production surpassed 100 million tons in the 1970s but have fallen more recently, NHK World Japan reported. A shrinking population and shifts in Japan’s industry have been contributing factors to the decline, an SMBC Nikko Securities analyst said.
China, the world’s largest steel producer, produced 960.8 million tons, a 4.4% decrease from the previous year, but still accounted for over half of the world’s total of 1,849.4 million tons, according to the WSA. India produced 164.9 million tons in 2025, coming in at a distant second.