U.S. Manufacturing Capacity Utilization: Manufacturing capacity utilization (MCU) reached 76.7% in September 2024, -0.5% month on month (m/m). On a year on year (y/y) comparison, the MCU was a modest -1.8%.

Figure 1 charts capacity utilization from 2013 to present. The MCU is currently in the green zone which is considered ideal. After a long run at the bottom of the “Recession Zone”, the index has begun to move higher, scoring its first month below 77% since July 2024.

At Gerdau we regularly monitor the manufacturing capacity utilization data issued by the Federal Reserve because it provides excellent insight into the health of U.S. manufacturing activity. We know that when manufacturing is performing well, so are steel sales, and we want to keep you – our valued readers – informed.