Mexican steel output and consumption to increase this year

Mexican steel output and consumption to increase this year

Mexica's Iron and Steel Chamber Canacero expects Mexican steel output to reach 17.8 million tons in 2005 with an increase of 7%. Mexican steel production was recorded as 16.7 million tons in 2004 and 15.2 million tons in 2003. Steel plate output will also rise by 10% in 2005 while hot and cold rolled sheet production is expected to grow by 3.5%. The production of steel bar, commercial steel profile and structural steel profile are projected to increase by 6.5%, 0.3% and 6.6% respectively. In addition, Mexican steel consumption will show a growth of 4% in 2005 and will reach 22.9 million tons on the back of the strong demand from the auto industry and producers of electro-domestic products. The growth in steel output and consumption is attributed to the country's economic expansion and the recovery in the international market.