Steel News

 Steel Statistics in the News 

Contents:-
Global Steel Production :  China Watch  :  EU Watch  :  US Watch  :
CIS Watch  :  Global Scrap Trade  :  Global Iron Ore Trade



Global Steel Production  

Global Crude Steel Production in 2009 down 8% on the same 2008 period, but down 21% with China excluded.  Chinese production up 13.5% to account for 47% of the world total, with the biggest falls recorded by the highly developed nations.

Global crude steel production for the 62 countries reporting to the World Steel Association broke the 100 million tonnes per month level for the first time in March 2006 on the way to recording a total for 2006 of 1,251 million tonnes up 9.1% on 2005.  2007 saw monthly production top 114 million tonnes on the way to a total of 1,351 million tonnes, up 8% on 2006.  

The 2007 total represents a 5 year increase of 49%, a rise since 2000 of 59% and an increase since 1998 of an astonishing 73%.  

May 2008 saw global output reach 121 million tonnes before falling thereafter to be 30% down at 84 million tonnes by December, the lowest since January 2004.  Full year 2008 saw global output was down 1.8% on 2007 at 1,327 million tonnes, down 3.5% with China excluded.

2009 saw global output output of 1223 million tonnes, 8% below the same period 2008.   Chinese production was up 13% to 568 million tonnes to account for 47% of the global total, with global production excluding China down 21%.  World production in October of 113 million tonnes was the highest since August 2008, before November and December saw production levels recede slightly.  Indian production was up 3% in 2009 with Iranian production up 9%.

All major producing regions showed falls in 2009 with the biggest falls hitting the most highly developed nations.  EU27 down 30%, Non-EU Europe down 8%, CIS down 18%, NAFTA down 34%, South America down 20% (Africa down 11%, Middle East up 1% and Oceania down 29%).  Asian output including China was up 3%. 

In the below we summarise annual World Steel Association crude steel production data.   

 

   
 

Stainless steel production grew 17% to 28.4 million tonnes in 2006,  led by Asian growth of 21% to 15.1 million tonnes or 53% of the global total.  Chinese stainless production grew 68% to 5.3 million tonnes in 2006.

In 2007 global output fell 2% to 27.8 million tonnes despite 6% Asian growth to 16 million tonnes and 58% of the total.  2008 saw global output fall 6% to 25.9 million tonnes with production in the second half of the year at 11.1 million tonnes 33% down on the January-June level.

Global output of 4.8 million tonnes in Quarter 1 2009 rose to 6 million tonnes in Quarter 2 and 7.1 million tonnes in Quarter 3 to leave January-September output down 15%.  Chinese production at 6.6 million tonnes over January-September was up 19% to account for 37% of total output compared to 26% in the same 2008 period. 


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China Watch

Chinese crude steel production in 2006 was 423 million tonnes, more than in 2003 and 2004 combined and 19% up on 2005.  2007 production was 495 million tonnes up a further 17%, accounting for 36% of global output.  2008 production of 500 million tonnes was up 1.1% on 2007 and accounted for 38% of global output.

2009 saw Chinese output of 568 million tonnes, up 13% on 2008 and accounting for an astonishing 48% of global production.  July and August saw successive crude steel records with output reaching 52.3 million tonnes.  A slight drop off in September was reversed in October before output dipped towards the year end.   

2008 full year exports of 56.2 million tonnes were down 14%, but maintained China as the world's biggest steel exporter, while imports of 15.4 million tonnes fell 9%, leaving China with a trade surplus in steel mill products of 40.8 million tonnes.

   

2009 saw China exports just 21.7 million tonnes, 61% below same 2008 level, while imports rose 43% to 22 million tonnes. China ran monthly trade deficits in steel mill products (long and flat products, semis and tubes) over February-August 2009 for the first time since autumn 2005.  Rising exports through Quarter 3 2009 continued continued through Quarter 4, reaching 3 million tonnes in December, to see China return to being a net exporter in the later part of the year. 

Over January-December 2009 China recorded a trade deficit of 0.3 million tonnes, compared to a trade surplus of 40.8 million tonnes in 2008, a shift of over 40 million tonnes away from exporting.

Combining the 13% increase in Crude Steel production with the elimination of China's trade surplus in steel ISSB calculate that China's apparent steel demand (which does not account for changes in stock levels), increased by 25% in 2009. 

China also imported record levels of steelmaking raw materials in 2009.  Iron Ore imports totalled 628 million tonnes, up 41% on 2008.  2009 scrap imports of 13.7 million tonnes were up nearly four-fold on 2008.  

International pressure over recent years saw the Chinese Government act to curb steel exports resulting in a series of export rebate cuts and export tax increases.

However falling world demand and falling Chinese exports have seen the Chinese authorities reverse direction.  April 2009 saw China increase export rebates to 13% on a range of higher value products.  These were mostly flat products, cold rolled and coated sheets, and stainless.

Amongst long products some higher grade bars and flats also benefitted.  June 2009 saw further products receive an export rebate of 9%, including hot rolled coil, hot rolled plate and heavy sections.  July saw export taxes of 5% removed on light sections and certain wire products. 


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 EU Watch 

External EU27 trade saw imports jump 23% in 2007 to 48.7 million tonnes whilst exports remained steady at 32.2 million tonnes.  A quantity deficit of 7.3 million tonnes in 2006 rose to 16.5 million tonnes in 2007, whilst a value surplus of €8.3 billion in 2006 was cut to €2.4 billion in 2007. 

Imports in 2008 at 39.7 million tonnes were down 18% on 2007 while exports at 34 million tonnes were up 6%.  The EU's external trade deficit for 2008 was 5.8 million tonnes, down 65% or 10.7 million tonnes on 2007.  The EU27 recorded a value surplus of €6.65 billion in 2008. 

 

EU27 exports to third countries over January-November 2009 at 27.2 million tonnes were down 14% on the first eleven months 2008 making the EU the second largest steel exporter over the period after Japan and ahead of Russia.

Meanwhile imports for outside the EU27 over the first eleven months of the year at 19.3 million tonnes were down 49% swinging the EU27 by 14.4 million tonnes from a net importer of 6.5 million tonnes over January-November 2008 to a net exporter of 7.9 million tonnes over the same 2009 period. 

 

 

2008 saw EU27 production 5.3% down on 2007 at 199 million tonnes with the EU27 share of global output falling from 16% to 15%.  2008 production peaked in May at 19 million tonnes, but fell back thereafter to a low of just 9 million tonnes in December.  2009 saw EU27 mills produce 139 million tonnes, 30% below the 2008 level with the EU27 share of global output falling back to just 11%.  January-August 2009 saw EU production struggle to recover before September saw a big upwards shift to over 13 million tonnes.  October and November were both over 14 million tonnes, the highest since Ocober 2008 and even December saw over 12 million tonnes produced.  January 2010 saw EU production up 34% on January 2009. 


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 US Watch 

US mills produced 98.5 million tonnes in 2006, up 6% on 2005.  Production in 2007 was down 1.4% on 2006 at 97.2 million tonnes.  2008 saw production of 91.4 million tonnes, down 7% on 2007.  2008 production peaked in May at 9.1 million tonnes but fell thereafter to just 3.9 million tonnes in December.

2009 saw US crude steel production of 58 million tonnes, down 36% on 2008, although Quarter 4 2009 saw output 14% above the same period in 2008. 
 
The US trade deficit in steel for 2006 was 31.4 million tonnes (US$ 19.7 billion).  In 2007 exports rose 14% to 9 million tonnes, while imports fell 27% to 40.4 million tonnes.  The resultant 2007 deficit was 19.2 million tonnes (-39%) (US$ 15.3 billion (-22%)). 

January-December 2008 saw US imports down 4% to 28.4 million tonnes while exports rose 23% to 12.6 million tonnes resulting in a deficit of 15.8 million tonnes (-18%) (US$ 18.6 billion (+21%)).

US imports over January-December 2009 at 14.3 million tonnes were down 50% on same 2008 period with May-August imports of under 1 million tonnes per month for the first time since 1993.  September saw imports reach 1.1 million tonnes and October 1.4 million tonnes before weakening to 1.2 million tonnes in November and December.  The 2009 import total for 2009 was the lowest since 1991.

US exports in 2009 of 8.8 million tonnes were down 30% on  2008 leaving the US with a trade deficit in steel mill products of 5.5 million tonnes, 10.3 million tonnes less than recorded in 2008.

With 2009 exports of flat products down 27% to 5 million tonnes but with imports down 38% to 5.7 million tonnes the US has moved to become a net exporter of flat products over June-December 2009. 




 

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CIS Watch 

The Russian trade surplus in steel for 2006 was 25.4 million tonnes (US$ 10.2 billion).  This huge surplus was despite an increase in imports of 28% by quantity and 56% by value year-on-year.  2007 saw export levels down 6% and import levels up 27%, reducing Russia's trade surplus by 13% to 22.1 million tonnes (US$ 10.1 billion) as domestic demand soared.

2008 saw exports over January-June of 15.6 million tonnes fall away 20% to 12.5 million tonnes over July-December giving full year exports of 28.2 million tonnes, down 3% on 2007.  Imports in 2008 totalled 5.4 million tonnes, down 23%, to give a full year 2008 trade surplus of 22.7 million tonnes (+3%) with a value of US$ 15.7 billion (+55%).

Russian 2007 crude steel production was up 2% to 72.2 million tonnes, having been up 5% at the half year.  Russian 2008 crude steel production at 68.5 million tonnes was 5.4% down on 2007.  Production in 2008 peaked at 6.8 million tonnes in May and fell back thereafter to just 3.3 million tonnes in December. 

Crude steel output in 2009 at 60 million tonnes was down 12% on 2008,  exceeding 5 million tonnes per month from June onwards.

Russian exports over January-November 2009 at 24.7 million tonnes were down just 6% by volume but by 49% by value on same 2008 period.  Russian export tonnage has however fallen less than those of other significant steel exporters with Russia on course to be the third largest exporter after Japan and the EU27 (external) in 2009.  

 

The Ukrainian trade surplus in steel for 2006 was a massive 28.8 million tonnes (US$ 12.3 billion).  The Ukraine's exports equated to a remarkable 74% of crude steel production for this period.

In 2007 exports were down 1% to 29.9 million tonnes, while imports rose 44% to 2.1 million tonnes.  Despite a reduction in the quantity trade surplus of 3%, the value surplus rose 18% to US$ 15 billion.

2008 saw exports fall 5% to 28.4 million tonnes, with imports up 11% to 2.3 million tonnes giving a full year trade surplus of 26.1 million tonnes (-6%) (US$ 20.3 billion (+35%)).  Exports over July-December 2008 at 12.2 million tonnes were 25% lower than those over the first half of the year at 16.2 million tonnes.

The Ukraine registered a 5% increase in crude steel production in 2007 to 43 million tonnes.  2008 saw production fall 13% to 37 million tonnes with output strong to August but was sharply down thereafter, reaching a low in November of just 1.6 million tonnes. 

2009 crude steel production of 30 million tonnes was 20% below the 2008 level but with production since July averaging 2.7 million tonnes per month.  Ukrainian exports over January-December 2009 at 23.8 million tonnes were 16% down by volume and 55% down by value on the same 2008 period. 

The Ukraine will have been the fourth largest steel exporter in 2009 after Japan, the EU27 (external) and Russia but ahead of China. 

 
 

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Global Scrap Trade 

The total amount of ferrous scrap shipped internationally increased by 9% in 2008 to 69 million tonnes, with USA underlining its position as the biggest exporter and with Russian exports continuing to decline.

Exports rose sharply in the first half of 2008, in part due to the iron ore price hike, but scrap prices and export tonnages fell away significantly towards the end of the year as global economic crisis gathered pace. 

Quarters 1-3 2009 saw trade in scrap 9% down on the same 2008 period.  The biggest change amongst exporters was the continued decline of Russian exports, while Japanese exports rose 84% with the combination of low domestic and high Chinese demand.  Turkey remained the biggest importer, but only just, with Chinese imports up nearly five-fold.  Exports to India doubled.  



 


 

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Global Iron Ore Trade 

Iron ore exports are dominated by Australia and Brazil, with demand dominated by Chinese imports.

Brazil moved fractionally ahead of Australia in 2007 with an 11% increase to 270 million tonnes, whilst Australian full year exports rose 8% to 269 million tonnes.  2008 saw Australia increase exports 15% to 309 million tonnes with Brazil's full year exports up 5% to 282 million tonnes.  2009 saw Australian exports rise 23%  to 381 million tonnes, while Brazilian exports fell back 6% ro 266 million tonnes, reflecting demand for iron ore in their respective market mix.

Indian exports have grown fast, we estimate Indian exports in 2007 at 91 million tonnes, in 2008 at 101 million tonnes and in 2009 at 114 million tonnes, a 13% rise.

South African exports rose 4% in 2008 to 32 million tonnes and by 41% in 2009 to 45 million tonnes.  Canadian exports rose 2% to 26 million tonnes in 2008 and by 15% in 2009 to 30 million tonnes.  2008 exports from Russia fell 22% to 25 million tonnes while those from the Ukraine rose 10% to 23 million tonnes.  Russian exports over January-November 2009 were down 30% with the Ukrainian full year exports up 21%. 

 

China imported 275 million tonnes in 2005, 326 million tonnes in 2006, 384 million tonnes in 2007 and 444 million tonnes in 2008, a 16% increase.  2009 saw China import 628 million tonnes of iron ore, an increase of 41%.  

 

Available data from the leading exporters indicates that despite the global economic slowdown total iron ore trade in 2009 was up around 8% on 2008, with record Chinese imports offsets sharp falls in demand elsewhere.  Shipments by the leading exporters reached 238 million tonnes in Quarter 3 2009, a new record. 

 


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2008 Country Books now available

We are now publishing the International Steel series for 2008 for 30 countries plus the Summary Tables.  The books give detailed trade tables for the calendar year 2008 plus summary production information.  Also available electronically as an Excel spreadsheet.
Click on Publications to order.