3/27/2025
GLOBAL CRUDE STEEL PRODUCTION DROPS IN FEBRUARY- WSA
Global crude steel production fell by 3.4% in February year on year, with the 69 countries reporting to the World Steel Association producing a total of 144.7 million tonnes.
The decline reflects slowed output across major markets, though some regions bucked the trend with growth, according to the WSA’s latest data published.
CHINA, the world's largest steel producer, saw its output fall by 3.3% YoY to 78.9 million tonnes in February, with the country’s struggling real estate sector still weighing on domestic steel demand.
But while new housing starts were down by 29.6% year on year in January-February, infrastructure investment (excluding utilities) and the supply industries, as well as automotive output, rose in the same period by 5.6% and 13.9% year on year respectively.
Despite a drop in crude steel production since the start of the year, there was no significant movement in prices because the decline was in line with market expectations.
JAPAN recorded an even sharper year-on-year drop in output last month, declining by 8.5% YoY, to 6.4 million tonnes, while the country’s steel market has struggled with falling exports, rising competitive imports and a weakened domestic economy.
The market is also now facing US tariffs, though Japan is seeking exemptions because its steelmaking sector relies heavily on exports.
The US also reported a decrease, with crude steel output falling by 7.0% to 6.0 million tonnes.
GERMANY reported a sharp decline, with a 13.5% drop to 2.7 million tonnes, amid weak demand and economic challenges in the country and the European Union.
IRANI saw an even steeper collapse, with production plummeting by 21.8% to 1.7 million tonnes. In February, export markets for semi-finished products in the West Asian country have remained slow since late January due to weak demand and price uncertainty.
INDIA was the standout performer in crude steel production in February, increasing output by 6.3% year on year to 12.7 million tonnes.
BRAZIL saw only a minor decline of 1.6% in February but posted a small 0.9% increase in crude steel production for the January-February period.
SOUTH KOREA recorded a modest increase of 0.7% YoY in February, though overall output for the first two months of the year declined by 2.8%.
One of the few bright spots was AFRICA, where production grew by 7.6% to 1.9 million tonnes in February compared to the same period last year, though the region remains a small player in the global steel market. This sharp rise contrasts with a milder 1.7% growth in the January-February period, suggesting a possible short-term boost rather than sustained growth.