The European Union metallurgy has shown a good reaction to the drop in demand from construction companies - Meps

According to estimates of analysts of the British MPS, the demand for steel from the construction sector of Europe has decreased by 50% over the past 5 years. The market shows more and more stiffness, but the eurozone metallurgists were able to minimize the consequences of such a decline. Metallurgical enterprises did not allow the drop in prices for a metal supply of a construction assortment by more than 5.3%, Meps reports.

The purchase index of steel prices for construction, according to Meps, was located before the construction boom in 2007 at a mark of 111.2 points. In 2012, this index amounted to 105.3 points. Thus, the percentage of the consumption of metal rolling by construction companies of the European Union did not produce prices.

Unfortunately for steel manufacturers, Meps does not see the prospects for improving the sales of construction metal in the eurozone and beyond in 2013. The EU economy will not show any serious successes for at least the next few years.

In the south of the European Union, housing construction has recently been sharply reduced. At the same time, the metallurgists of Northern Europe, where the production of reinforcement and rolleines are traditionally located, suffered most.

The only hope of European metallurgy that makes the construction metal rolling is today the area of ​​the Middle East and North Africa, which has recently become a source of growing demand for reinforcement and varietal metal rolling.

A significant role in successful overcoming the collapse of demand from the construction sector was played by a reduction in production. So, over the past 5 years, the production of reinforcement in the eurozone has decreased by 30%. In addition, metallurgists had to limit their expenses to increase competitiveness against importers - especially last year.