The company said full-year profit declined 62% due to weak steel prices and demand at a time when costs were driven by rising prices for key resources like coal.
ArcelorMittal South Africa, "Globally, steel prices fell faster than raw materials, especially in the second half of the year." said.
On the other hand, international prices of coking coal, a key component in steelmaking, rose 62% year-on-year in dollar terms.
Steel consumption in South Africa fell 12% last year to 4 million tons, driven by low market activity in the main steel-consuming sectors, high market inventories required for unloading, project delays due to rising interest rates, and a general weakening in business.
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