Evening star., 1941-01-20
Steel Rate 10 Rise
To 99.1 Per Cent
In Current Week
New Tonnage Record
Will Be Established,
Institute Reports
BY the Associated Press

By the Associated Press.
NEW YORK, Jan. 20-The Ma
tion's steel mills will boost produce
ton to 99.l per cent of capacity this
week, which will represent the high
est actual tonnage ever produced by
the industry, the American Iron 81
Steel Institute said today. Last
weeks operations were at 98.5 per
cent of capacity.
A month ago, when the holidays
cut into production, output was 8O3
per cent of capacity and a year ago
822 per cent.
The institute said these figures
represented production capacity as
of December 81. 1889. Revised figures,
based on later additions to capacity,
were expected TO be available next
week.
Market Is Calmer.
CLEVELAND, Jan. 20 GP)-The
steel market has entered a more or
derly phase with consumers. realizing
the impossibilitv of spot deliveries in
the damned industry. carefully eX-
amining their requirements and
placing orders as far ahead as the
fourth quarter, the magazine Steel
reported today.
Incoming business Is as great or
even larger than before. but the sit
uatiOn seems calmer as both pro-
ducers and consumers are better
adjusted to unusual conditions" the
magazine stated.
In the long run plenty OF steel
seems assured, though temporary
scarcity may continue to be felt in
certain items and instances. Ap-
parently no consumer has been COM
PEELED to shut down or curtail on
erations because of lack of material.
Confident of Future.
Having Weathered several months
Of apparent stringency without suf-
fering real distress, both producers
and consumers are confident about
the future, Moreover the trade
realizes that the first few months Of
a boom are always the most con-
fusing, order eventually settling out
of complexities.
In keeping with a policy Of rigor-
Gus rationlng many pig iron pro-
ducers refuse to sell a pound until
customers prove their urgent need
and exhaustion of old stocks. En-
phasis seems to be shifting-from
whether 100000 tons of lngots
year are sufficient, TO whether con-
sumers can fabricate and digest that
much steel. The more advanced the
stage of manufacture. the industry
realizes, the scarcer becomes the
supply of skilled labor, housing and
machines.
Warehouse distributors in virtually
all districts have advanced hot
rolled sheets and strips 81 ton. a
belated adjustment to higher mil
prices which went into effect last
spring Many expect that the price
reduction goal of $40 a ton for No.
heavy melting steel scrap at Pitts
burgh will not be attained, but that
the market will stabilize around
S2l50.
Wage Rise Opposed.
Concerning reported c. / o. pla"-
to request wage increases, the mas
zine said
The industry believes that. sir
Washington is openly committed
the policy Of holding prices CO.
to be consistent it must insist
no advance in unit wages"
Two Of Steel's price composites
clined last week because Of furtl
recessions in scrap. steelworks SC,
falling so cents to s2O50 and i.
and steel IA cents to 1883. F.
ished steel was unchanged at S56e
Ingot production gained / poir
to SO per cent Of capacity, 12-year
high Five districts advanced, East
ern Pennsylvania going up l point
to 96 per cent. Wheeling 9 to 1OC.
Cleveland A. to 80, New England
IA to 100 and Detroit to 95. Chi
cago declined IL to 98l2. Un-
changed we're Pittsburgh at e5l..
Buffalo 9o12, Birmingham 100. Cir
cinnati 8812, st. Louis 07I2 ard
YOUNGSTOWN "a,