Stainless steel output forecast by ISSF

Stainless steel output forecast by ISSF

The International Stainless Steel Forum (ISSF) has released a new forecast for global stainless crude steel production in 2005 and 2006. The forecast indicates that global stainless crude steel production will rise 1.8 percent year on year to 25 million metric tons in 2005. The growth rate in 2004 was 7.4 percent. The ISSF attributes the slowdown in the growth of the production to high stainless prices, which led producers and distributors to reduce their stocks of stainless steel products in 2005.

Forecast of 2005 stainless steel production (in ’000 metric tons)   
 
      Region            2003    2004   +/-%    2005(e)   +/-%
 
Western Europe/Africa  9'043   9'422   4.2     9'000      -4.5
Central/Eastern Europe   341     312  -8.5       240     -23.1
The Americas           2'830   2'933   3.6     2'860      -2.5
Asia                  10'645  11'897  11.8    12'900       8.4
Total World           22'861  24'564   7.4    25'000       1.8 

According to the forecast, only Asia, driven by China, will show growth in stainless steel production in 2005. It is expected that Asia will account for more than half of the stainless steel production of the world in 2005. For 2006, the ISSF expects stainless crude steel production to increase 5.9 percent year on year to 26.5 million metric tons.

Forecast of 2006 stainless steel production (in ’000 metric ton)   
 
      Region            2004    2005   +/-%    2006(e)   +/-%
 
Western Europe/Africa  9'422   9'000  -4.5     9'500       5.6
Central/Eastern Europe   312     240 -23.1       280      16.7
The Americas           2'933   2'860  -2.5     2'950       3.1
Asia                  11'897  12'900   8.4    13'750       6.6
Total World           24'564  25'000   1.8    26'480       5.9