Germany-based steelmaker Salzgitter Group has announced that, despite a market environment characterized by production capacity underutilization in Europe and fierce competition, its steel division secured generally satisfactory capacity utilization by stepping up deliveries to group companies and exploiting export opportunities in countries outside the EU during 2012.
In 2012, the Salzgitter Group was exposed to an extremely challenging economic environment. The company reported a loss of €100 million, compared to a €236 million profit in the previous year due to declining selling prices in the European steel market, compounded by high costs of input materials and energy and by temporary capacity underutilization in the tubes division. During the same year, Salzgitter's consolidated external sales increased by six percent year on year to €10.4 billion, mainly boosted by the considerable growth in international steel trading
In 2013, Salzgitter expects an increase in sales of its steel division compared to 2012, while its consolidated sales are expected to remain stable on year-on-year basis.