China accounted for 55% of world output in May with production of 89.1 million tonnes, 10.0% higher than in May 2018. Asian output outside of China rose 0.6%, with increased production in India (+5.1%) offsetting a decline in Japan (-4.6%).
European Union production fell 2.8%, mainly due to a 6.2% decline in Germany and a 7.6% drop in France. In North America, US production rose 5.4%, Canadian output rose 12.8%, but Mexican production fell 4.1%. Other important changes around the world include an 8.0% production drop in Turkey and a 20.7% increase in Vietnam.
Photo of tool steel ingot casting at Uddeholms AB, Hagfors, Sweden by Uddeholms AB from Wikimedia Commons
Based on reported import licenses, US long steel products imports fell 29% from 432,000 short tons in May 2018 to 307,000 tons in May 2019. The decline was mainly due to lower wire rod and rebar imports. Parallel flange sections are the only product category showing higher import licenses this May compared to last year’s imports, with volumes increasing 31%.
Based on January to April imports and May import licenses, long products imports in the first five months of 2019 were 12% lower than in the same period last year, with imports of all product categories down except for wire rod, which rose 2%.
SIMA long products import licenses
January 2013 to May 2019
short tons
Photo by MTA Capital Construction Mega Projects [CC BY 2.0 (https://creativecommons.org/licenses/by/2.0)]
Based on reported import licenses, US flat steel products imports fell 19.0% from 749,000 short tons in April to 607,000 tons in May. Import licenses indicate imports dropping for all product categories in May, but the highest volume decline comes from hot roll imports due to lower licenses from South Korea, Japan, and Canada.
Based on January to April imports and May import licenses, flat products imports so far this year are 22.8% lower than in the first five months of 2018, with imports of hot roll down 28.7%, cold roll down 24.3%, hot dip galvanized down 16.7% and cut plate down 7.1%.
SIMA US flat products import licenses
January 2013 to May 2019
short tons
Photo “Storing Coils 4” at Ipatinga, Minas Gerais, Brazil from Worldsteel Image Library, Image ID 1000
Worldsteel reported crude steel production in China at 85.0 million metric tonnes in April, 12.7% higher than in April 2018. Chinese output over the first four months of 2019 was 10.3% higher than in the same period last year.
China’s General Administration of Customs reported Chinese net finished steel exports (exports minus imports) in April at 5.3 million tonnes, 1.9% lower than in April 2018. Net exports in the first four months of 2019 were 13.6% higher than in the first four months of 2018.
China monthly crude steel production 2006 to 2019
Thousand metric tonnes
A worker checks rolled steel sheet at HBIS Tangsteel Photo from Worldsteel Image Library by worldsteel / Shawn Koh, Image ID 717
China accounted for 54% of world output in April with production of 85.0 million tonnes, 12.7% higher than in April 2018. Asian output outside of China rose 0.4% with Vietnam production up 35.6%.
European Union production fell 4.2% compared to last April due to declines in Germany (-8.7%), Italy (-5.7%), and France (-8.1%). In the CIS, Russian output fell 8.3% but Ukaine production rose 12.6%. In North America, US production rose 7.3%, Canadian output rose 1.0%, and Mexican production fell 8.2%.
Blast furnace 6 at Novolipetsk (NLMK Group) Photo from Worldsteel Image Library by worldsteel / Robert Kolykhalov, Image ID 523
Based on reported import licenses, US long steel products imports fell 37% from 427,000 short tons in April 2018 to 270,000 in April 2019. The drop was mainly due to lower rebar and parallel flange sections imports. However, wire rod import licenses in April 2019 were 38% higher than April 2018 imports, offsetting declines in other product categories.
Based on January to March imports and April import licenses, long products imports in the first four month of 2019 were 11% lower than in the same period last year, with imports of all products categories declining except for wire rod, which rose 10%.
