The volume of liquid steel consumption in Mexico increased in December by 10.6 percent, the fifteenth consecutive annual increase. By contrast, liquid steel production has accumulated a negative streak of 13 months, in December decreasing 10.0 percent, year-over-year, according to data from the Mexican Chamber of the Iron and Steel Industry (Canacero) reviewed by SteelOrbis.
In the Mexican steel market, steel consumption totaled 2.44 million metric tons (mt) in December, the lowest volume in the last 10 months.
Production of liquid steel in Mexico totaled 1.29 million mt, the third lowest in the last 24 months. The negative streak in production is partly explained because since January 2023 Altos Hornos de México (AHMSA), one of the largest steel companies in the country, has been paralyzed due to insolvency.
With the negative production trend, consumption is complemented by imports. In December, for every 100 mt of steel consumed, steel mills manufactured 52.7 mt.
On the side of finished steel products consumed in the Mexican market, in December it increased 10.7 percent, year-over-year, to 2.16 million mt, the 13th consecutive annual increase and is also the seventh consecutive double-digit annual increase.
The manufacturing of finished steel products in Mexico returned to positive territory for the second consecutive month. In December it increased 6.2 percent, year-over-year.
In the accumulated total of the full year 2023, the production of liquid steel was 16.2 million mt, 12.2 percent less compared to 2022. In contrast, the consumption of liquid steel in the same period increased 14.1 percent to 32.4 million mt.
For its part, the manufacturing of finished steel products accumulated a volume of 19.4 million mt throughout 2023, 1.6 percent less compared to 2022. Meanwhile, accumulated consumption totaled 28.6 million mt, 14.0 percent more in the period.
Data from The World Steel Association from 2023 places Mexico as the fourteenth largest producer of liquid steel in the world, surpassed by Vietnam, Taiwan, Italy, Iran, Brazil, Türkiye, Germany, South Korea, Russia, United States, Japan, India and China.