South Korea’s heavy plate production and sales were largely stable in January-June 2022 (H1CY22) compared to the same period last year on rise in shipments to shipbuilding sector.
Production, sales up marginally y-o-y in H1
Heavy plate production by Korean mills stood at 4.51 million tonnes (mnt) in H1CY22, up marginally by 1% against 4.47 mnt in the same period last year. However, in June 2022, production volumes dropped 2% to 759,184 tonnes (t) in comparison with 777,141 t in May’22.
Total sales of heavy plates stood at 4.53 mnt in the first half of CY22, up 1% as against 4.51 mnt in the corresponding period last year. In June 2022, plates sales dropped 5% to 737,290 t compared to 775,483 t a month ago.
Production and sales shrunk in June 2022 because of delayed recovery in demand from non-shipbuilding sector and the surge in imports due to fall in imported prices.
Exports drop, imports rise in H1
Heavy plates exports dropped 12% to 0.98 mnt in January-June 2022 period against 1.11 mnt in the year ago period. On the other hand, imports registered a whopping 156% increase to 868,795 t in H1CY22 from 340,009 t seen in H1CY21.
Shipbuilding performance
In H1CY22, shipbuilders have recorded order books at 9.79 million CGT, out of which 4.1 million CGT is for container ships.
H2 outlook
In the second half of the year, domestic demand is expected to be strong alongside increased imports amid fall in imported offers and limited supply in the domestic market.
Note: This article has been published in accordance with an article exchange agreement between SteelDaily and SteelMint.
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