Alacero Hints at Robust Steel Consumption in LatAm Countries

SEATTLE (Scrap Monster): The Latin American steel industry continued to maintain recovery during the initial seven-month period of the current year, triggered by higher steel consumption in the region.

According to press release by the Latin American Steel Association (Alacero), the regional crude steel production until July this year totalled 37.67 million tons, significantly higher by almost 24% over the corresponding period in 2020. The accumulated rolled steel production, at around 33 million tons, was up by more than 30%, compared with the previous year. Meantime, the crude and rolled steel production in the month of July alone reported declines by 2.2% and 0.7% respectively.

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The accumulated steel consumption during H1 this year witnessed 37.8% year-on-year surge, reflecting the recovery of steel-consuming sectors in the region. The second quarter consumption surged higher by 64.3% over Q2 last year. The analysis carried out by Alacero based on the six-month data suggests that the recovery is likely to sustain in the medium term.

Alejandro Wagner, Executive Director, Alacero noted that the region’s steel sector produces much cleaner and more sustainable steel than its primary competitors. Furthermore, he highlighted the significance of steel industry as an important economic engine in the region.