New orders received in the German steel market improved again at the end of 2011, according to the German steel federation Wirtschaftsvereinigung Stahl (WV Stahl). In the fourth quarter of last year, rolled steel orders in Germany rose by five percent quarter on quarter, reaching 9.22 million metric tons, down 5.5 percent year on year.
In the fourth quarter last year, orders from Germany's domestic market fell 8.7 percent year on year, totaling 5.6 million metric tons, while foreign orders remained unchanged compared to the fourth quarter of 2010, amounting to 3.6 million metric tons. Meanwhile, in December 2011, the order books in Germany amounted to 8.6 million mt, increasing by 10.5 percent over the last month of the previous quarter (September) and up seven percent year on year.
According to the federation, new orders in the German steel market might improve in the coming months due to solid domestic steel demand. However, in view of the ongoing euro zone crisis, high and volatile prices of raw materials, and the difficult situation relating to market conditions in southern Europe, the risks relating to market conditions for the steel industry remain high.