U.S. Capacity Utilization scored a 71.1% in July, up 3.5% month on month, (m/m) – its third monthly increasing for the year. On a year on year (y/y) comparison the capacity utilization was a modest -11.3%.

Mexico Capacity Utilization scored a 72.9% in July, up 10.1% month on month, (m/m) – its third monthly increasing for the year. On a year on year (y/y) comparison the capacity utilization was a modest -11.7%.

Canada Capacity Utilization scored a 70.3% in July, down 11.9% quarter on quarter (Q/Q). On a year on year (y/y) comparison the capacity utilization was a modest -13.7%.

Figure 1 charts capacity utilization from 2018 to present. Capacity utilization and production picked up at the beginning of the year as is typical for January and February.

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