World Steel Use To Grow In 2011

World steel consumption is expected to increase 5.9% in 2011 as developing countries continue to grow, the World Steel Association recently reported. The growth rate is lower than in 2010 when worldwide steel use increased 13.2%. Steel use in the U.S. is expected to grow 13% to 90.5 million metric tons in 2011, Industry Week reports.

The increase reflects new economic policy initiatives that boost growth in industrial and energy markets, according to the World Steel Association. In 2012 steel use in the U.S. is expected to return to 90% of 2007 levels, with consumption growing by 6.9% to 96.7 million metric tons.

Before the earthquake & tsunami, Japan’s steel use was expected to decline 1.2% to 63 million metric tons in 2011 as stimulus measures expire. The association projected similar figures for Japan in 2012. The impact of the earthquake and tsunami will likely result in further decreases this year, with levels picking up in 2012, the World Steel Association said.

Global steel use will rise to 1,359 million metric tons in 2011. By 2012 world steel demand will rise another 6% to 1,441 million metric tons, the association reports. In 2012 steel consumption in developed markets will drop 14% below the 2007 level. But in emerging economies steel use is expected to rise 38% over the same period.

Emerging and developing economies will account for 72% of world steel demand in 2012 compared with 61% in 2007. China’s apparent steel use in 2011 is expected to increase by 5% to 605 million metric tons following a 5.1% growth in 2010. In 2012, Chinese steel demand is expected to maintain 5% growth, bringing China’s steel use to 635 million metric tons, according to the association. ◆