The apparent consumption of wire rod in Mexico broke the negative trend of the last three months and in August increased 17.9 percent, year-over-year. However, production registered its eighth consecutive drop so far this year with a decrease of 1.5 percent, according to data from the Mexican Chamber of the Iron and Steel Industry (Canacero) reviewed by SteelOrbis.
In August, 224,000 metric tons (mt) of wire rod was consumed, 17.9 percent or more compared to the same month last year, the second increase in the year.
August production was 203,000 mt, 1.5 percent less year-on-year, the second lowest production volume in the first eight months of the year. The lowest volume was last month, in July, with 174,000 mt.
In the accumulated eight months, consumption decreased 3.7 percent, compared to the same period last year, totaling 1.76 million mt. Production decreased 16.2 percent to 1.68 million mt.
Information from the Ministry of Economy shows that the wire rod market in Mexico is dominated by DeAcero with 51 percent of the total production capacity in the country, Ternium has 18 percent, ArcelorMittal 16 percent, and the steel company Tyasa has 6 percent, Grupo Acerero 5 percent and Simec 4 percent.