Steel Imports Dipped for the First Time in 8 Months

SEATTLE (Scrap Monster): The government data released yesterday suggests notable decline in steel exports by the country during the month of February this year. The exports recorded decline for the first time in almost eight months. The export decline is mainly attributed to reduced demand from European countries and South East Asian countries due to coronavirus outbreak.

India’s steel exports totalled 570,000 tonnes in February 2020, as against the exports of 619,000 tonnes during the same month a year before. Over the year, the exports registered nearly 8% decline.

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Arnab Kumar Hazra, assistant secretary general, Indian Steel Association noted that demand evaporated from all importing nations across the globe, mainly due to general decline in industrial and manufacturing activity. However, the country remained a net exporter during the eleven-month period (Apr ’19 to Feb ’20) of the fiscal year, he said.

Meantime, the domestic steel consumption dipped to the lowest level in four months, in tandem with the slowdown in economic activity in the country. Also, the finished steel output by the country hit a two-month low in February this year, totalling 8.56 million tonnes. The spread of coronavirus has capped domestic steel prices. Many domestic steelmakers are currently planning to implement production cuts, sources said.