The Indian private steel manufacturer-JSW Steel produced lower volumes of crude steel, flat-rolled, and long-rolled products in Feb ’21. It’s capacity utilization slid down to 93% in Feb ’21 as compared to 96% in Jan ’21. SteelMint learned from the company’s recent press release.
Major highlights are mentioned below:
1.Crude steel output down by 9% m-o-m-JSW Steel’s crude steel production for Feb ’21 was at 1.306 mn t, down by 9% as compared to 1.432 mn t a month ago. Also, on an annual basis, it decreased by 1% against 1.302 mn t in Feb ’20.
2.Flat-rolled steel production down by 9% m-o-m-The output of flat-rolled products reported a de-growth by 9% to 0.927 mn t in Feb ’21 compared to 1.014 mn t in Jan ’21. In similar lines, the annual decline was 6% as against 0.982 mn t in CPLY.
Decline in trade prices of flat steel on bearish market sentiments resulted in lower output in Feb ’21. SteelMint benchmark HRC (IS 2062, 2.5-8mm) price stood around INR 55,000-55,500/t (exy-Mumbai) at the beginning of Feb ’21, which later dropped to INR 53,500-54,500/t (exy-Mumbai) towards the month-end.
3.Long-rolled steel production fell by 5% m-o-m-JSW produced 0.340 mn t of long steel in Feb ’21, falling by 5% over 0.359 mn t a month ago.
On the other hand, the same has increased by about 10% annually in comparison with 0.308 mn t in Feb ’20. Announcement of new construction and infrastructure development projects and resumption of stalled ones early in CY ’21, lent support to the demand for long steel, which had been impacted by the COVID-19 contagion since late Jan ’20.
Outlook
Company’s crude steel output and its steel production is expected to remain high in Mar ’21 due to increase in export allocations and improved demand in the domestic market.
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