Steel consumption in China in 2013 and 2014

In China, the consumption of raw steel in 2013 is estimated at 693 million tons, which determines the growth of 3.2 percent in annual calculus and is expected to reach 715 million tons in 2014.

The head of the Institute of the Chinese Metallurgical Industry said that, given the current production of China, the steel industry will continue to fight overproduction. China is the world's largest consumer and manufacturer. Over the past few years, the sector has become faced with weak demand and fall in prices, and also suffered greatly from excess capacities. The slow growth of interconnected industries, including mechanical engineering, electrical devices and containers, is the main reason for reducing the growth of steel consumption in China.

The demand for steel in China in 2014 is installed on the verge of insignificant growth, since the Chinese economy is unlikely to make a significant turn next year. Of the eight sectors determining the demand for steel, only railway and automobile industries can expect the greatest growth in steel consumption in 2014, a forecast at the level of 8.3 and 8 percent in annual calculus, respectively.

The demand for steel next year in the sector of machines and household appliances is expected to grow by 5.3 and 5 percent in annual calculus, respectively. On the part of the energy, construction and sector of the production of containers, the demand for steel will be unchanged. Shipbuilding in 2014 due to depression of the world market will not show signs of growth. At the same time, iron ore prices will remain high next year. China’s demand for ready -made iron ore in 2014 is predicted at 1172 million tons, while more than 70 percent of imports.