STEEL NEWS

Steel consumption in Latin America rises for ninth consecutive month

Steel consumption in Latin America continues to rise, Alacero reports, driven by a rebound in demand, an increase in industrial production and production, and a recovery in stocks at both end users and the distribution chain.

Steel consumption in January 2021 rose for the ninth month in a row, up 0.8% month-on-month to 6.09 million tonnes (Mt), or 12.7% more than in January 2020. COVID-19 pandemic.

The short-term outlook is favorable for increased demand for steel in the region. A few days ago, the International Monetary Fund (IMF) released an April update of its forecasts for this year, which indicated that the global economy will grow by 6%, developed countries by 5.1%, emerging economies by 6.7% and Latin America. by 4.6%; in the region stand out Brazil with 3.7% and Mexico with 5%.

Brazil contributed the most to the improvement in steel demand, rising 8.8% and surpassing 2 million tonnes per month for the fifth straight month, a level that has not been recorded since June 2018. Argentina also saw consumption growth in January by 10.8% compared to December 2020.

Imports increased by 5.7% compared to January 2020. Exports for the month fell 27.3% from the same period last year as the industry prioritizes supply to the local market. The latest result was 12.4% lower than last December and accounted for only 11.4% of regional production in January, down from 15.6% in 2020.