According to data released by the Latin American Steel Association (Alacero), the Latin American steel industry recorded its fourth consecutive annual decline in production in 2025, while imports rose to historic highs, significantly increasing their share in regional consumption.
According to the association, crude steel production in Latin America totaled 55.5 million mt in 2025, down 2.4 percent year on year, while rolled steel output amounted to 50.0 million mt, declining by 3.6 percent year on year. The association noted that this marks the fourth consecutive year of contraction, with output levels comparable only to those recorded during the pandemic period.
Imports surge to record levels, trade deficit widens
The association reported that steel imports reached a record 30.0 million mt in 2025, increasing by 6.3 percent year on year. As a result, imports accounted for 40.4 percent of apparent consumption, the highest level in the historical series. At the same time, exports declined to 6.1 million mt, down 10.6 percent year on year, resulting in a regional trade deficit of 23.9 million mt, the largest negative balance on record.
Consumption increases slightly, led by Argentina
Despite the production downturn, the association stated that apparent consumption of rolled steel products reached 74.1 million mt in 2025, increasing by 1.3 percent year on year. At the country level, Argentina recorded the strongest growth with an increase of 18.0 percent year on year, followed by Colombia with 7.2 percent year on year and Brazil with 2.6 percent year on year, while Mexico registered a decline of 10.1 percent year on year.
End-user demand remains mixed across sectors
On the demand side, the association indicated that sectoral performance remained uneven at the end of 2025. Construction closed the year with a slight increase of 0.4 percent year on year, while the machinery sector recorded growth of 2.7 percent year on year. In contrast, household goods declined by 2.9 percent year on year, and the automotive sector posted only marginal growth of 0.7 percent year on year, reflecting a still fragile industrial environment.