China's steel demand may have passed its historical peak, influenced by zero-covid policies. The expected 8% gross domestic product growth in China this year will be largely driven by private consumption. Fixed asset investments are expected to remain stable. The government will not implement further stimulus measures this year.
Moreover, rebar consumption growth in North Africa and the Gulf Council countries may remain flat in 2023. Higher consumption in Iraq, Libya and Yemen is expected to offset the decrease in Algerian rebar consumption.
In the European market, high energy prices and interest rates will affect the construction sector. Rebar producers in southern Europe have a production capacity of around 60 per cent. In terms of the US outlook, US rebar demand will slow down in 2023 due to insufficient financing.
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