The positive trend seen in apparent steel consumption as well as in steel-using sectoral output continued over the second quarter of 2021, at a considerably higher pace than in the first quarter of 2021. This was driven by the ongoing recovery in demand from the industry sector, where output bounced back after the losses experienced during the pandemic.
At the same time, this is also due to the comparison with the very low output levels seen one year earlier. The second quarter of 2020 saw widespread lockdowns and stoppages to industrial activity that were implemented across the EU as a result of the outbreak of the Covid-19 pandemic.
However, the general economic and industrial recovery in the EU appears to be increasingly uneven and exposed to downside risks, mainly the ongoing, severe disruptions in the global supply chain (i.e. shortage of components and raw materials, skyrocketing energy prices, rising shipping costs, etc.), as well as the sluggish implementation of vaccination plans in some Member States and COVID-19 variants.
Recovery in steel-using industries and in steel demand is expected to continue through 2021 but at a moderate rate and subject to considerable uncertainty at least until the first quarter of 2022, when most of the current global supply chain disruptions are expected to disappear or to ease significantly.
Brussels, 19 November 2021 – The board of the European Steel Association (EUROFER) has re-elected Geert Van Poelvoorde as President of the organisation for the fourth consecutive time. The board meeting, which took place yesterday, also saw the re-election of the nine EUROFER vice-presidents and the confirmation of the 20 members of the board. All are two-year terms.
Brussels, 01 November 2021 – The European Steel Association (EUROFER) welcomes the statement of the EU and the US to tackle jointly shared challenges in the steel and aluminium sectors, including negotiating an arrangement on carbon intensity and global overcapacity, and replacing the current 25% tariff measure of the US Section 232 on EU steel imports by a tariff-rate quota regime (TRQ) based on historical volumes. The arrangement between the US and the EU is a first important step in favour of a globally decarbonised industry in light of COP26 negotiations.
Brussels, 28 October 2021 – In the second quarter of 2021 EU27 apparent steel consumption recorded 40 million tonnes, scoring an exceptional year-on-year growth rate (+40.5%) compared to the extremely low levels of 2020 caused by the COVID-19 economic shock. The outlook, however, is turning increasingly uncertain at least for the last quarter 2021 and the first quarter 2022.