Brazilian steel association IABr said this week it expects the local steel sector to recover from years of weak domestic demand. The trade group also unveiled its estimates for crude steel production, imports, exports as well as domestic sales by year-end. IABr said local crude steel production in 2019 should increase 2.2 percent, year-on-year, to 36 million mt.
Brazilian steel imports in 2019 are expected to rise 8.7 percent, year-on-year, to 2.6 million mt, while exports in the same period are forecasted to drop 6.1 percent, year-on-year, to 13.1 million mt.
IABr expects domestic steel sales in 2019 to grow 4.1 percent, year-on-year, to 19.5 million mt. Apparent steel consumption in 2019 should also increase 4.6 percent, year-on-year, to 22 million mt, it forecasted.
IABr said the expected rebound in the local steel sector will depend on the country’s ability to resume its economic growth in a sustainable way.
IABr said crude steel output in Q1 was 8.4 million mt, 2.8 percent down, year-on-year. Domestic steel sales in Q1 dropped 0.1 percent, year-on-year, to 4.4 million mt, while apparent steel consumption in the same period totaled 4.9 million mt, 1.4 percent down, year-on-year.