India’s finished steel exports remained largely stable m-o-m at 0.57 million tonnes (mnt) in February 2023 compared with 0.58 mnt a month ago.
Demand for imported HRCs remained subdued in Vietnam. It may be noted that subdued demand for the past few months has persisted in the country on increased domestic output and extended Covid restrictions. In addition, Indian mills are facing competition in the UAE as buying interest for Indian-origin HRCs moderated.
Buyers are trying to negotiate at lower levels amid availability of cheaper alternatives. However, Indian mills are less likely to reduce their prices amid limited allocations. Export volumes to the EU, India’s largest export destination. witnessed an increase, keeping overall volumes supported in February.
India’s steel export volumes plunged 50% y-o-y against 1.157 mnt in February 2022, as per provisional data released by the Joint Plant Committee (JPC). During the first 11 months of FY23 (April 2022- February 2023), export volumes dropped 52% y-o-y to 5.904 mnt from 12.299 mnt in the same period last year owing to 15% export duty imposed earlier this fiscal.
Crude steel production down 9% m-o-m in Feb’23
Crude steel production by the Indian mills stood at 9.89 mnt in February, down 9% from 10.93 mnt in January. Moreover, output fell y-o-y compared to 10.14 mnt a year ago.
During the first 11 months of FY23, crude steel output inched up by 4% y-o-y to 113.44 mnt against 109.11 mnt in the same period last year.
Finished steel production falls in Feb’23
India’s finished steel production stood at 9.87 mnt in February. Production dropped by 8% m-o-m as against 10.93 mnt in January. Nevertheless, production inched up by 3% y-o-y compared to 9.59 mnt in the preceding year.
Finished steel production rose by 6% y-o-y to 109.352 mnt during April-February as against 102.999 mnt in the same period last year.
Finished steel consumption down 5% m-o-m in Feb’23
India’s finished steel consumption stood at 10.09 mnt in February, inching down by 5% m-o-m as against 10.67 mnt in January. However, consumption rose by 11% y-o-y compared to 9.085 mnt in the preceding year.
Finished steel consumption increased by 12% y-o-y to 107.19 mnt during the first 11 months of FY23 as against 96.05 mnt in the same period of last year.
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