Steel Consumption Levels to Hit Fresh Peak in India

SEATTLE (Scrap Monster): India has emerged as the saviour for global steel demand. The ongoing building boom in the country is likely to take steel consumption levels to a fresh record. This comes amidst uncertainties in connection with Chinese construction sector growth and likely possibilities of the U.S. and Europe heading into recessions.

RELATED NEWS:

Domestic Demand for Finished Steel to Grow 8% This Year: ICRA

Crisil Expects Boosted Sentiments to Drive Indian Steel Sector

According to estimates provided by the World Steel Association (worldsteel), the steel demand in the country is likely to witness a surge by 6.7% in 2023, which would be the highest growth among major economies. The steel demand growth had recorded significant expansion in 2022 as well.

Jayant Acharya, deputy managing director, JSW Steel Ltd. noted that any economy that passes through nation-building phase will require huge quantities of steel and other commodities. India is going through that phase during the current decade, which could boost the country’s steel consumption to over 200 million tons by the end of the decade, Acharya added.

The positive steel sector outlook has resulted in increased investments in domestic steelmaking capacity. For instance, AMNS India Limited recently announced plans to triple its capacity over the decade. Also, leading South Korean steelmaker POSCO had revealed plans to set up steel mills in India.