The world's largest steelmaker ArcelorMittal is reportedly considering trimming production by around 15 percent in order to maintain steel prices as global growth decelerates and markets weaken.
According to ArcelorMittal CEO Lakshmi Mittal, worldwide demand for steel is still strong and the global credit crisis has not much affected ArcelorMittal's clients; however, the fourth quarter will see softness, at least temporarily. Mittal added that steel demand on a global basis may rise by between four and 4.5 percent in 2009, after a five percent annual increase rate in 2008.
ArcelorMittal had recently announced that prices for its steel products will continue to remain strong and that price cuts in the company's South Africa unit were due to specific currency developments and local price factors.