Though the figures are only for the first 11 months of 2006, the die has already been cast: the European Union’s balance between its steel imports and exports saw a trade deficit recorded in 2006.
According to the data from Eurofer (European Confederation of Iron and Steel Industries), in the first 11 months of 2006 the EU imported 23.6 million metric tons (mt) of steel products, including both flats and longs, compared to exports which amounted to 19.9 million mt for the same period. As a result, the EU recorded net imports of over 3.6 million mt for the period in question.
The main driving force in this change to a situation of net importation was the rapid rise in the EU’s flats imports which totaled 17.2 million mt for Jan-Nov 2006 - thus largely surpassing the EU’s flats exports for the same period which reached to 13.7 million mt.
Another factor contributing to the EU’s negative steel industry trade deficit has been the steady increase in long product imports, which have risen from 3.7 million mt in 2002 to 6.3 million mt in 2006. Meanwhile, the EU’s long product exports for the same period have varied between 5.8 million mt registered in 2002 and 6.7 million mt recorded in 2004.