# Onshore wind and Steel

Onshore wind needs steel; their prices have moved together.

Source page: https://www.materialinsights.org/links/onshore-wind-and-steel/

[Onshore wind](https://www.materialinsights.org/energy/e_onshore_wind/) (energy) and [Steel](https://www.materialinsights.org/commodities/steel/) (commodity): 2 relationships.

## How they are linked

### 1. Material need

*Physical flow · Direct · Steel → Onshore wind*

Building or running Onshore wind needs steel.

### 2. Price link: main input

*Cost and price · Weak · Both ways*

Towers and nacelles are mostly steel, so steel prices feed into turbine costs. The proxy, a US turbine index, does not track steel month to month (0.05) because turbines are sold on long contracts with prices fixed well before delivery.

- **0.05** monthly change correlation
- **-0.01** 12-month change correlation
- **0.26** fitted elasticity

Built from the site data on production routes, energy flows, industry value chains, input-output tables and prices.