355 Essentials of Strategic Management 
Case 7
Nucor Corporation in 2012: Using Economic Downturns as an Opportunity to Grow Stronger
Percent of
Worldwide
Production
Country
Total Production of Crude Steel
China
752 million tons
45.9%
Japan
118 million tons
7.2%
United States
95 million tons
5.8%
India
79 million tons
4.8%
Russia
76 million tons
4.6%
South Korea
75 million tons
4.6%
Exhibit 8 shows the world’s 15 largest producers of steel in 2010.
Steelmaking Technologies
Steel was produced by either integrated steel facilities or “mini-mills” that employed electric arc furnaces. Integrated mills used blast furnaces to produce hot metal typically from
iron ore pellets, limestone, scrap steel, oxygen, assorted other metals, and coke (coke was produced by firing coal in large coke ovens and was the major fuel used in blast furnaces to produce molten iron). Melted iron from the blast furnace process was then run through the basic oxygen process to produce liquid steel. To make flat rolled steel products, liquid steel either was fed into a continuous caster machine and cast into slabs or was cooled in slab form for later processing. Slabs were further shaped or rolled at a plate mill or hot strip mill. In making certain sheet steel products, the hot strip mill process was followed by various finishing processes, including pickling, cold-rolling, annealing, tempering, galvanizing, or other coating procedures. These various processes for converting raw steel into finished steel products were often distinct steps undertaken at different times and in different onsite or offsite facilities rather than
EXHIBIT 8
Top 15 Steel Companies Worldwide, Based on Crude Steel Production, 2010
Crude Steel Production (in millions of tons)
2010 Rank
355
Company (Headquarters)
2005
2010
1.
ArcelorMittal (Luxembourg)
120.9
98.2
2.
Baosteel (China)
25.0
37.0
3.
POSCO (South Korea)
33.6
35.4
4.
Nippon Steel (Japan)
35.3
35.0
5.
JFE (Japan)
32.9
31.1
6.
Jiangsu Shagang (China)
Nucor Corporation in 2012: Using Economic Downturns as an Opportunity to Grow Stronger
Percent of
Worldwide
Production
Country
Total Production of Crude Steel
China
752 million tons
45.9%
Japan
118 million tons
7.2%
United States
95 million tons
5.8%
India
79 million tons
4.8%
Russia
76 million tons
4.6%
South Korea
75 million tons
4.6%
Exhibit 8 shows the world’s 15 largest producers of steel in 2010.
Steelmaking Technologies
Steel was produced by either integrated steel facilities or “mini-mills” that employed electric arc furnaces. Integrated mills used blast furnaces to produce hot metal typically from
iron ore pellets, limestone, scrap steel, oxygen, assorted other metals, and coke (coke was produced by firing coal in large coke ovens and was the major fuel used in blast furnaces to produce molten iron). Melted iron from the blast furnace process was then run through the basic oxygen process to produce liquid steel. To make flat rolled steel products, liquid steel either was fed into a continuous caster machine and cast into slabs or was cooled in slab form for later processing. Slabs were further shaped or rolled at a plate mill or hot strip mill. In making certain sheet steel products, the hot strip mill process was followed by various finishing processes, including pickling, cold-rolling, annealing, tempering, galvanizing, or other coating procedures. These various processes for converting raw steel into finished steel products were often distinct steps undertaken at different times and in different onsite or offsite facilities rather than
EXHIBIT 8
Top 15 Steel Companies Worldwide, Based on Crude Steel Production, 2010
Crude Steel Production (in millions of tons)
2010 Rank
355
Company (Headquarters)
2005
2010
1.
ArcelorMittal (Luxembourg)
120.9
98.2
2.
Baosteel (China)
25.0
37.0
3.
POSCO (South Korea)
33.6
35.4
4.
Nippon Steel (Japan)
35.3
35.0
5.
JFE (Japan)
32.9
31.1
6.
Jiangsu Shagang (China)