Speaking at the SteelOrbis Spring '12 Conference and 66th IREPAS Meeting held in London, Stemcor Group Managing Director David Faktor said that the restrictive measures taken by some countries against the imports of certain steel products from certain countries will only change the direction of the trade or will simply change the products traded, but they will never stop the trade itself.
Asked about the prospects of the Middle Eastern and North African steel markets, Mr. Faktor said that each market should be taken separately. About the Libyan market, Mr. Faktor said that the country has the financial accumulation, so it would be a decision of the Libyan government that would boost the local steel demand in the coming period. "I suspect Libya will be a substantial long product importer by the fourth quarter," David Faktor said. While in Egypt, the political upheaval has reduced substantially incomes from the tourism, according to Mr. Faktor, which curbs the country's spending on tourism based infrastructure projects, pushing down its steel demand.
About the Southeast Asia, David Faktor said that the region is relatively self sufficient, so the region does not provide much opportunities for traders outside the region, except China and Japan. However, stated Mr. Faktor, there is a supply shortage of scrap. In the meantime, Mr. Faktor told the attendees of the event that the Chinese steel industry is more organized than many other countries, with integration or shutting down of dated capacities, though it is not competitive in long products despite its dominance in the Asian market, adding that he does not expect China to increase its steel exports in an inefficient or unprofitable way.