European steel association Eurofer announced a 4.6% decrease in steel consumption in the EU in 2022 compared to 2021. Data for the third quarter of 2022 showed a negative trend. The same picture is expected in the fourth quarter. Eurofer predicts a 1.6% decrease in consumption in 2023.
In the third quarter of 2022, consumption decreased to 32.2 million tons, which is 11.2% less than in the second quarter. At the same time, apparent demand for the second decreased by 4.7% compared to the first. Eurofer does not expect the situation to get any better in the near future, at least in 2023. The decline in steel consumption will continue for the fourth year in a row.
Earlier, the association claimed that Europe's steel demand fell by 3.5%, and even in summer it was said to be around 1.7%. It turned out that Eurofer underestimated the challenges facing the steel industry in Europe.
These include: the energy crisis, disruptions in supply chains, significant corporate spending on decarbonisation, local products competing with cheap imports. In addition to all these, some problems such as inflation are getting worse.
Comments
No comment yet.