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Why feed 'em lead when you can feed 'em steel. Dinner is served.
In-game description

The Steel AR Rounds is an ammunition type featured in RAGE. Found in abundance in the Wasteland, the AR Rounds are the default Settlers Assault Rifle ammo type. Most bandits drop the AR Rounds when looted, and it also can be found around if the player searches for items carefully thus making it an easily available ammo for the SAR. It also can be bought from vendors for $14 soon after completing the first missions.

This type of ammunition is reliable and useful for its relatively good price. It kills Ghost and Wasted clansmen with only around 7–10 rounds, while the Shrouded Clan, Gearheads, and Jackal Clan members take around 30–40 rounds to kill, with the exception of the common Shrouded clansmen that only take 10–20 rounds to kill. The Authority soldiers also take 30–40 rounds to kill.

It is advised in the later missions to sell all standard AR rounds, due to their abundance, and replace them with the Feltrite AR rounds, which deal double the damage.