Stainless steel industry meets in Seoul
World's leading stainless steelmakers met in Seoul to discuss significant issues, including raw material supplies and China's stainless steel industry. The International Stainless Steel Forum (ISSF) is underway at POSCO center with fifty six stainless steelmakers from twenty one countries. Among the participants of 56 ISSF member companies are ISSF Chairman Victoria Munoz Cava, ISSF Vice Chairman Helmut Hadrys, President and CEO of Nissin Steel Toshihiko Ono and Senior Executive Vice President of POSCO Lee Youn. During first session, the participants have discussed the recent development of China's stainless steel industry and the factors, which influences the fluctuations in the price of nickel, one of the key raw materials in stainless steel. The other discussion topics, prior to the official opening, were the growth of stainless steel markets, protective measures against unjust regulations and research and information exchanges. The ISSF, which is operated under the International Iron and Steel Institute, forecasts global stainless steel output to grow this year as well. The stainless steel output is expected to reach 24.4 million mts in 2004, indicating a 6.8% increase compared to 22.8 million mts recorded in 2003. ISSF stated that the strong increase in demand for stainless steel during 2003, especially in China, was partially grown out of stock builds. However, it is reported that this situation reduces growth potential for 2004/2005 period. ISSF expects that the growth for stainless steel output to decrease slightly in 2005 compared to 2004. The expected increase in 2004 is attributed to the stock build at stainless steel service centers and fabricators. It is also forecasted that the recent movements of the Chinese government to slowdown its overheated economy will not affect the expansion trend in the stainless steel industry, which has risen by an annual average of 5.71% from 1980 to 2003. In 2005, Asia is expected to show the strongest growth in stainless steel output. ISSF believes that all significant regions will achieve an increase in stainless crude steel output, but at a reduced rate.Global Stainless Crude Steel Output Region 2002 2003 +/-% 2004e +/-% Western Europe/Africa 8'628 9'055 4.9 9'650 6.6 The Americas 2'734 2'831 3.5 3'000 6.0 Asia 9'049 10'645 17.6 11'400 7.1 Eastern Europe 252 277 9.9 300 8.3 Total World 20'663 22'808 10.4 24'350 6.8