Steel demand will grow in 2023, but will contract in 2024

Steel demand will grow again in 2023, but will contract in 2024as reported by the Latin American Iron and Steel Institute (Alacero).

()Less sales and drop in production, the current panorama of SMEs.​

“It is possible that by 2024 the demand for steel will contract due to lower global growth, a strong energy crisis and a political rearrangement due to the flood in Ukraine,” said Alejandro Wagner, executive director of Alacero in an interview with Bloomberg.

The Alacero institute also revealed that, between January and August of this year, Steel production in Latin America decreased 3.3% compared to the same period in 2021.

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In respect, Wagner told Bloomberg that the drop in steel consumption is mainly related to a 12.7% drop in imported rolled steel until the first half of 2022.

And, regarding the reduction in steel prices, the executive director of Alacero assured that it is the effect of a contraction in demand for the materialthat is if he promised to “ensure fair market conditions”.

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