IABr, the Brazilian steel association, downgraded on Wednesday its estimates for the local steel industry in 2017, indicating the industry will not recover this year.
IABr said Brazilian steel sales should decline 1.3 percent in 2017, year-on-year, to 16.3 million mt. In April this year, it estimated domestic sales in 2017 to rise 1.3 percent, year-on-year, to 16.7 million mt.
Brazil’s apparent steel consumption in 2017 should reach 18.4 million mt, 1.1 percent up, year-on-year. Its previous estimate was 18.7 million mt, a 2.9 percent growth on a year-on-year basis.
Crude steel output in 2017 should remain at 32.5 million mt, which will represent a 3.8 percent growth, year-on-year, the same estimate provided in April.
IABr urged the local steel sector to jointly work with the Brazilian government to avoid further restrictions to the steel industry, in response to the Section 232 investigation in the US.