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A steel ship floats because of the shape of the hole it makes in the water, not the steel.

Physics Facts, sourced to NOAA.

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What it means

Archimedes worked this out: an object is pushed up by the weight of the fluid it shoves aside. A solid steel block shoves aside very little and sinks. Roll the same steel into a hull with air inside and it displaces an enormous volume of water, and the upward push matches the ship's weight long before the hull is under. Loading cargo makes it sit lower until the two balance again, which is what a load line on the side is measuring.

The claim comes from NOAA.

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