World crude steel output of 64 steel producing countries in CY ’20 was aggregated at 1,829.14 mn t, down by 1% against 1,846.39 mn t in the preceding year, as per the recent data released by World Steel Association (WSA).
COVID-19 related concerns and disrupted consumption cycle weighed on the production volume of the manufacturers.
However, the output increased by 2% on the month while it rose by 6% annually at 160.86 mn t in Dec ’20.
SteelMint has analysed the crude steel output of the top three steel producing nations as mentioned below:
China’s crude steel output hits record high in 2020-China’s crude steel output increased by 5% to a record 1053.00 mn t in CY ’20 in response to a quick recovery in construction and manufacturing demand after Covid-19 lockdowns.
In Dec ’20, output on an outright basis increased to 91.25 mn t, up 4% m-o-m and 8% y-o-y.
The domestic demand recovered substantially since the middle of second quarter of CY ’20 with the resumption of economic and industrial activities and Beijing’s investments in infrastructures as part of the economic rescue efforts.
India’s crude steel production fell on lower capacity utilization in CY ’20-India’s crude steel output fell by 11% at 99.57 mn t in CY ’20 against 111.35 mn t in CY ’19.
Impacted by the stringent lockdown in the Apr-Jul ’20 period, the mills had slashed their production to as low as 25% of rated production capacity. Further, a few mills underwent maintenance runs in the latter half of the year that weighed on the output volumes, even though the mills had achieved 85-88% of their production capacity by the year end.
Indian mills registered an output of 9.8 mn t in Dec ’20, up 6% m-o-m and 4% on a yearly basis.
Japan’s steel output dropped by 16% in CY ’20-Japan, the world’s third-biggest steel producing country, produced 83.19 mn t of crude steel in CY ’20, continuing its decline for the sixth straight year. COVID led to a collapse in demand from industries such as automobiles and construction, forcing steelmakers to curb production, leading to a 16% decline over 99.28 mn t in CY ’19.
In similar lines, crude steel production registered a decline of 3% y-o-y at 7.526 mn t in Dec ’20, however it grew by 4% sequentially.
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