According to a report by Latin American steel association Alacero, crude steel production in Latin America totaled 49.6 million metric tons during the first nine months of 2012, falling four percent compared to the same period of last year. In September alone, 5.37 million metric tons were produced, which was also four percent lower compared to September 2011.
During the month in question, Brazil was the Latin American country with the highest crude steel production with 2.8 million mt, almost stable compared to September 2011. Brazil was followed by Mexico with 1.7 million mt of crude steel, while Argentina saw a drop of 67 percent in its crude steel production compared to September 2011.
Meanwhile, Latin American finished steel production in January-September reached 42.8 million mt. In the January-September period, Brazil was responsible for 46 percent of the volume with 19.9 million mt. Mexico was the second largest finished steel producer of the region with 12.6 million mt, representing 28 percent of the region's output. In September alone, finished steel production in Latin America was 4.9 million mt, representing a five percent increase over the same month last year. Brazil and Mexico stimulated this growth with 2.2 million mt and 1.4 million mt respectively.
The region's finished steel trade deficit in the January-August period of the current year was 8.2 million mt, greater than the 5.4 million mt deficit in the first eight months of 2011. Alacero attributed the increase to a deepening deficit of 3 million mt in Mexico. Meanwhile, Colombia with 1.1 million mt and Peru with 1 million mt were among the countries which recorded significant trade deficits.
Apparent finished steel use in Latin America reached 44 million mt in the first eight months of 2012, up six percent compared to the same period a year ago, against a production level of 37.9 million mt. Mexico, Chile and Peru led overall consumption growth, with increases of 16 percent, 15 percent and 14 percent respectively, year on year.
In August 2012, steel consumption in Latin America amounted to 5.5 million mt, stable compared to the consumption of the same month of 2011.