Alloy wheels are made from an alloy of aluminium or magnesium. They are lighter than steel wheels and help to improve fuel economy as well as performance. However, they are more expensive than steel wheels and can be more difficult to repair if damaged.
Steel wheels are made from... you guessed it, steel! They are the most common type of wheel on cars and trucks. They are cheaper than alloy wheels but heavier, which can negatively impact fuel economy and performance. Steel wheels are also susceptible to rust and corrosion over time.