China and Vietnam counteract global steel production dynamics

In June, steel production in 64 countries represented by the World Steel Association (worldsteel) fell 7% year on year to 148.3 million tons. The association, however, reiterates that many of the numbers are estimates and are likely to be revised next month due to the impact of the Covid-19 pandemic.

China continued to resist this trend, as did Vietnam, with production rising 4.5% and 13.4% respectively in June to 91.58 million and 1.92 million tonnes. Production in India, Japan and South Korea decreased by -26%, -36% and -14%, respectively, to 6.92 million, 5.6 million tons and 5.1 million tons.

EU28 production fell 25% to 10.16 million tons in June, while production in Germany and Italy fell 27% and -13%, respectively, to 2.48 million tons and 1.8 million tons. Production in France and Spain fell -35% and -32%, respectively, to 836,000 tons and 834,000 tons.

Production in Turkey, however, increased by 4% to 2.8 million tonnes.

US production fell 35% to 4.75 million tons, while production in Brazil is estimated to have dropped 27% to 2.1 million tons.

CIS production fell 5% in June to 7.95 million tons, while Russian production is estimated at -7.6% to 5.6 million tons. Production in Ukraine, however, rose 9% to 1.81 million tonnes.

Thus, the world steel production in January-June fell by 6% on an annualized basis to 873.1 million tons.

For antitrust reasons, worldsteel no longer produces the world's monthly capacity utilization rate. The capacity information can be found on the OECD website, worldsteel said.