U.S. Capacity Utilization was 74.9% in December 2020, up 2.0% month on month (m/m) – its ninth month in a row increasing for the year. On a year on year (y/y) comparison, the capacity utilization was a modest -2.9%.

Mexico Capacity Utilization was 78.6% in December, up 2.3% month on month (m/m). On a year on year (y/y) comparison, the capacity utilization was up 3.8%.

Canada Capacity Utilization was 76.5% in December, up 8.2% quarter on quarter (q/q). On a year on year (y/y) comparison, the capacity utilization was a modest -5.8%.

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 data issued by the Federal Reserve because it provides excellent insight into the health of USMCA activity.