German steel federation Wirtschaftsvereinigung Stahl (WV Stahl) has revised its crude steel production estimate for 2012 to approximately 42.5 million mt, down four percent from the 44.0 million mt announced previously. In 2011, 44.3 million mt of crude steel were produced in Germany. The crude steel production in Germany so far this year is five percent lower compared to the same period of 2011.
"The reason for the forecast revision is that the economy is affected more than expected by the sovereign debt crisis which affects the euro area," said Hans Jürgen Kerkhoff, president of the German steel federation.
The association noted that new rolled steel orders in Germany increased six percent on average in June and July, after falling almost continuously from November 2011 to May 2012, all on year-on-year basis. WV Stahl also said that business climate in the German steel industry rose slightly in August after it had dropped four times in succession. However, the hostile economic climate is still significant, according to WV Stahl.