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When steam is cooled in the air it creates water vapor. This water vapor comes together to create clouds and fog.
Water condensing is a physical change. It is a change in state from the gaseous phase (water vapor) to the liquid phase (liquid water) without any change in the chemical composition of water molecules.
The water vapour is condensing.
Condensing
At the cloud base when water vapor begins condensing it begins to release it. This releasing is called rain.
The condensing of water vapor in to water dropplets
fog
Physical. It was water before condensing, and it is water after. All that changed is energy was lost that allowed a phase change.
chilled water
chilled water
Dew and rain are two examples.
Condensation is a purely physical process (a change of phase). Water evaporating or condensing does not change its molecular composition (H2O).