EXHIBIT 23.1


[LETTERHEAD OF KPMG]



                    Independent Auditors' Report on Schedule
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The Board of Directors and Stockholders
California Steel Industries, Inc.:

Under date of January 19, 2001, we reported on the consolidated balance sheets
of California Steel Industries, Inc. and subsidiary as of December 31, 2000 and
1999 and the related consolidated statements of income, stockholders' equity and
cash flows for each of the years in the three-year period ended December 31,
2000, as contained in the 2000 annual report to stockholders.  These
consolidated financial statements and our report thereon are included in the
annual report on Form 10-K for the year ended December 31, 2000.  In connection
with our audits of the aforementioned consolidated financial statements, we also
audited the related financial statement schedule as listed in the accompanying
index.  This financial statement schedule is the responsibility of the Company's
management.  Our responsibility is to express an opinion on this financial
statement schedule based on our audits.

In our opinion, such financial statement schedule, when considered in relation
to the basic consolidated financial statements taken as a whole, present fairly,
in all material respects, the information set forth therein.

                                                 /s/ KPMG LLP

Orange County, California
January 19, 2001