Alacero, the Latin American steel association, has reported that in the first two months of this year apparent finished steel use in Latin America and the Caribbean totaled 10.8 million mt, up one percent year on year. The highest increases were registered in Peru, up eight percent, with an increase of three percent in both Brazil and Mexico, while finished steel consumption in Venezuela, Chile and Ecuador decreased by 36 percent, 13 percent and three percent, respectively. In February alone, apparent finished steel use in Latin America and the Caribbean increased by three percent year on year to 5.31 million mt.
Meanwhile, in the first quarter this year finished steel production in Latin America and the Caribbean increased by one percent year on year, amounting to 13.7 million mt. In the given period, Brazil held the largest share in regional finished steel production, with 6.3 million mt or 46 percent of the total, up two percent year on year. It was followed by Mexico with 4.1 million mt, up five percent year on year, equal to a 30 percent share. Meanwhile, the Dominican Republic, Peru and Argentina increased their production by six, four and three percent respectively, while Venezuela and Chile saw production drops of 31 percent and 26 percent respectively, all on year-on-year basis. In March, finished steel production in the region remained unchanged year on year at 4.76 million metric tons.
Latin American crude steel production amounted to 16.1 million mt in the first quarter of this year, increasing by two percent year on year. In the given period, Brazil was the largest producer in the region with 8.3 million mt, ahead of Mexico which increased its crude steel production by seven percent year on year. Meanwhile, crude steel production in the region amounted to 5.61 million mt in March this year, increasing by one percent year on year.
On the other hand in the first two months this year, regional finished steel trade registered an annual deficit of two million mt, in line with the deficit for January-February 2013. In the given period, all Latin American countries, except Argentina, Brazil and the Dominican Republic, presented steel trade deficits, led by Mexico with an imbalance of 530,287 mt. Other countries that showed significant deficits were Colombia (423,600 mt), Peru (275,200 mt) and Chile (227,300 mt).