ArcelorMittal South Africa reports decrease in Q2 profit

ArcelorMittal SA reported a significant decline in second quarter profit, which it attributed to a significant increase in steel exports from China that destabilized the global steel market. The company revised its forecasts for apparent steel consumption outside China, citing the negative impact of China's overproduction and the subsequent aggressive export strategy. ArcelorMittal lowered its forecast for apparent steel consumption outside China to a growth rate of between 2.5% and 3% this year.

China's economic performance has been uneven this year, with manufacturing strengthening at times while consumer spending remained sluggish due to the protracted real estate crisis.