The crude steel output of the 64 steel manufacturing countries in Aug ’20 summed up to 156.26 mn t, up by 2% m-o-m as per the data released by the World Steel Association. Improved capacity utilization by few top manufacturing countries amid rising downstream demand has pushed the output higher.
On the other hand, on a yearly basis, the output rose by 1% in Aug ’20 as compared to 155.37 mn t in Aug ’19. During Jan-Aug’20, world crude steel output was recorded at 1.18 bn t, lower by 4% y-o-y due to the pandemic.
SteelMint has analysed the crude steel output of top steel-producing nations which are mentioned below-
China’s steel output hit record high in Aug- Nation’s steel mills collectively churned out 94.85 mn t of crude steel in Aug ’20, a new high, and marginally up by 2% on the month as against 93.36 mn t a month back. China’s crude steel output set a record high in Aug ’20 besting the previous highs of 93.36 mn t in Jul ’20, and 92.2mn t set in May ’20, the mills had increased their production rates amid improved demand in the country. On a yearly comparison, the same increased by 8% over 87.50 mn t in Aug ’19.
However, with recent production cuts in place as a measure to curb air pollution along with approaching holidays, China’s steel output may fall slightly in Sept-Oct ’20.
India’s output up as downstream demand picks up- Country’s steel output stood at 8.48 mn t of crude steel in Aug ’20, increasing by 19% as against 7.15 mn t in Jul ’20. Mills recovered their capacity utilization as the unlock phase started in different parts of the country. Pick up in downstream demand from construction, auto & white goods sector supported market sentiments.
However, the same declined by 4% on a yearly basis when compared with 8.87 mn t a year ago.
Japanese mills output climb, further increase expected- Crude steel output summed up to 6.45 mn t in Aug ’20, rising by 7% on a monthly basis as against 6.05 mn t in the previous month. Recovery in demand amid easing of COVID cases had pushed the production higher. On a yearly basis, the same fell by 28% in Jul ’20 in comparison to 8.39 mn t in the preceding month. JFE Steel has announced the resumption of operations at blast furnace No.4 in Fukuyama works. The company has decided to resume operations one month ahead of the originally planned resumption in late-Oct’20, following demand recovery, especially in the manufacturing sector. JFE Steel is the second largest steelmaker in Japan.
United States output down amid increasing COVID concerns- The crude steel output was slashed by 25% m-o-m basis in Aug ’20 to 5.59 mn t when compared with 7.42 mn t in Jul ’20. On the other hand, the same fell by 24% on the year over 7.40 mn t in Aug ’19.
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