Gerdau: Trump’s infrastructure plan may boost steel demand

Thursday, 10 November 2016 01:42:00 (GMT+3)   |   Sao Paulo
       

Brazilian steelmaker Gerdau said this week the infrastructure deficit in the US could result in opportunities to the local steel sector.
 
The company said that the anticipated infrastructure spending promised by elected president Donald Trump could also help the steel sector.
 
“There is low demand in the industry and also it's a moment of caution due to the presidential election,” said the company’s CEO, Andre Gerdau Johannpeter.
 
“On the other hand, we see that steel growth in the construction industry is recovering. There is also a significant infrastructure deficit in the US, which represents a good opportunity for the industry in the region in the next coming years,” he said, while talking to analysts in a company’s earnings call.
 
Talking to analysts, Johannpeter said Gerdau was “monitoring” the plans of both candidates and all of them had “very strong government” plans in terms of infrastructure.
 
“We believe there should be more investments in infrastructure,” the executive said.
 
“The United States really needs investments in infrastructure. And this has been the case for many years. Therefore, we believe that they should resume investments in infrastructure once the new president takes over,” he said.

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