World’s crude steel production fell by 3.5% y-o-y to 169.5 million tonnes (mnt) in May 2022, as per data released by the World Steel Association (WSA). However, the volumes rose by 4%, m-o-m, against 162.7 mnt in April 2022.
China’s crude steel output down
China’s crude steel output stood at 96.6 mnt in May 2022, down 3.5% from 100.1 mnt in May 2021. China’s pledge to control carbon emissions by cutting its annual production, the outbreak of Covid since mid-March 2022, along with subdued demand resulted in a decline in output. Moreover, demand in the overseas markets was also impacted by the contiunal drop in export offers lately.
However, on a monthly basis, crude steel output rose 4% from 92.8 mnt in April 2022.
India’s crude steel production up 17%
Crude steel production by Indian mills registered an increase of 17.3% to 10.6 mnt in May, against 9.04 mnt in the same period last year. Similarly, production volumes rose 5% m-o-m as against 10.1 mnt in April.
Primary steel mills recorded a significant growth in production and sales in May on increased capacity utilisation as well as consumption. For instance, India’s apparent steel consumption stood at 9.44 mnt in May, up 20% y-o-y and 4% m-o-m, as per latest data released by the Joint Plant Comittee (JPC). JSW Steel recorded best-ever crude steel production in May at 1.79 mnt versus 1.36 mnt a year ago.
Japan’s crude steel production down 4%
Japanese mills churned out 8.1 mnt of crude steel in May, a fall of 4.2% y-o-y against 8.46 mnt in the corresponding period last year (CPLY). Production volumes declined majorly due to global supply chain disruptions and dull demand from the automobile industry. Furthermore, the country’s leading steel manufacturer Nippon Steel has decided to postpone the resumption of third blast furnace (BF) at its Nagoya works, which was under maintenance since January 2022.
On a monthly basis, crude steel output registered a rise of 8% compared with 7.5 mnt in April 2022.
Leave a Reply