Plant Size and Efficiency in the Steel Industry: an International Comparison

Abstract

Steel is the basic material of industrialisation; and also of war. For Britain in the eighteenth century, iron and steel was the cornerstone of the industrial revolution; for Germany, a century later, the steel industry was the foundation of the militarism of Bismarck. Both countries supplied steel rails for America's westward expansion in the third quarter of the nineteenth century, before the emergence of America's own steel industry. Until the 1880s the British iron and steel industry was dominant. By the turn of the century both America and Germany had overtaken Britain as a steel producer. Today Britain has the smallest of the three industries. In 1979, a relatively good year, 21.5 million tonnes of crude steel were made in Britain, compared with 46 million in Germany and 123.3 in America.