According to the Latin American Steel Association (Alacero), Latin America's crude steel production increased by 2.1 percent year on year to 28.5 million mt in the first half of 2026, while rolled steel output edged down by 0.3 percent to 25.6 million mt. Apparent rolled steel consumption rose by 1.0 percent to 38.2 million mt, though imports continued to meet more than 40 percent of regional demand.
Steel production maintains recovery in June
In June alone, Latin American crude steel production rose by 2.1 percent year on year to 4.8 million mt, marking the fourth consecutive month of growth, while rolled steel output increased by 0.6 percent to 4.2 million mt.
In the January-June period, long steel production remained stable and flat steel output declined by 0.9 percent, whereas seamless tube production increased by 6.8 percent.
Imports retain substantial share of regional consumption
Latin America's steel imports rose by four percent year on year to 2.6 million mt in June but decreased by 1.0 percent to 15.6 million mt in the first half, accounting for 40.7 percent of apparent consumption.
Imports declined in Brazil, Argentina, Chile and Mexico, but increased by 17.9 percent in Colombia and 25.1 percent in Peru. Meanwhile, regional exports fell by 0.4 percent to 3.3 million mt, resulting in a trade deficit of 12.3 million mt, broadly unchanged from 12.4 million mt in the same period of 2025.
Construction and automotive sectors support steel demand
Regional construction activity increased by 0.8 percent in the first half and by 4.9 percent year on year in June, supported by Colombia, Mexico and Argentina. Automotive activity rose by 3.2 percent in the first seven months, mainly due to an 8.7 percent increase in Brazil.
Conversely, industrial production declined by 0.5 percent, while machinery and household-use sectors contracted by 5.6 percent and 7.8 percent, respectively. Against this mixed demand backdrop and continued pressure from Asian imports, Latin American countries have been strengthening trade defense measures and introducing initiatives to support domestic steel production.