Ore Trade Pummels U.S.-Flag Fleet In April

The continued collapse of America's steel industry was well evidenced on the Great Lakes in April. U.S.-Flag iron ore cargos for the region's steelmakers slumped to 5.6 million net tons, a decrease of 13 percent from last April's deflated total. For the season, U.S.-Flag iron ore cargos stand at 7.5 million tons, a decrease of 14.1 percent.

The decrease comes as no surprise. Through April, domestic steel production is down by11.4 percent or 4.3 million tons. The production of one ton of steel in a domestic blast furnace requires 1.3 tons of iron ore, 1/2 ton of fluxstone and a quantity of met coal, so Great Lakes cargo movement will mirror the state of America's steel industry.

The dumping of foreign steel that has driven 16 American steelmakers into bankruptcy in the past 3 years has had other ramifications in this young season. The ore carriers ELTON HOYT 2ND and EDWARD L. RYERSON have not sailed and another, the ADAM E. CORNELIUS, has re-entered lay-up until business conditions improve.

The April totals for stone and coal showed slight decreases, but it is too early in the season to declare any trends for those commodities. Through April, shipments of all the dry-bulk cargos in U.S. hulls stand at 12.9 million tons, a decrease of 11.5 percent.

U.S.-FLAG CARRIAGE
APRIL AND SEASON-TO-DATE: 2001 - 2000
(net tons)

Commodity

April 2001

April 2000

S-T-D 2001

S-T-D 2000

Iron Ore - Direct Shipments

4,890,831

5,791,735

6,289,393

7,635,615

Iron Ore - Transshipments

687,899

624,282

1,225,360

  1,114,644

Total - Iron Ore

5,578,730

6,416,017

7,514,753

  8,750,259

Coal - Western

1,213,608

1,131,284

1,545,228

1,605,299

Coal - Eastern

591,499

724,529

811,716

  911,461

Total - Coal

1,805,107

1,855,813

2,356,944

2,516,760

Limestone and Gypsum

2,284,584

2,300,264

2,361,451

  2,590,591

Cement

321,373

301,949

502,410

  561,205

Salt

101,920

167,362

145,153

  167,362

Sand

0

0

0

  0

Grain

32,165

0

32,165

  0

Totals

10,123,879

11,041,405

12,912,876

  14,586,177

In addition to the 12 U.S.-Flag Lakes operators who comprise Lake Carriers' Association, this survey includes Andrie, Inc. (cement only), Great Lakes Associates (grain) and Upper Lakes Towing Company, Inc. (various dry-bulk cargos). Pere Marquette Shipping Company also participates in this survey, but has yet to resume operations this season.
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ggn@lcaships.com
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