Page 437 - Solid Waste Analysis and Minimization a Systems Approach

32

PRIMARY AND FABRICATED

METAL INDUSTRIES

32.1 Industry Overview

NAICS code: all 33100s and 33200s

INDUSTRY SNAPSHOT

67,413 metal operations in the United States
2,065,244 employees
$386.4 billion in annual sales
8.2 tons of solid waste generation per employee
Major waste streams: metals

The U.S. primary metals industry includes 5000 companies with combined annual
sales of about $140 billion. Large companies include Nucor and U.S. Steel (steel);
Alcoa (aluminum); and Phelps Dodge (copper). The industry is highly concentrated;
the 50 largest producers hold more than 90 percent of the raw steel market. Secondary
production of products from raw steel and other metals is also concentrated.
Demand comes largely from the manufacturers of durable goods like motor vehicles,
machinery, containers, and construction steel. The profitability of individual companies
depends largely on efficient operations, because most products are commodities sold
based on price. Big companies have large economies of scale in production. Accordingly,
most producers of secondary products buy raw metal from the large producers. Small
companies can compete by operating efficient local minimills or producing specialty
products. The industry is highly automated; average annual revenue per worker is
close to $300,000.

415