Market development
In 2006, the market for carbon steel and stainless steel equipment developed very positively. Projects concentrated mainly on China, India, and Europe; in these regions, several orders for new plants and the modernization of existing mills were awarded. In North America, only selective investments were made.
Prices for cold-rolled steel and stainless steel products developed positively during the reporting period due to continued solid demand – especially for stainless steel. Global crude steel production in 2006 is expected to amount to approximately 1.2 billion tons, up 9% as compared to 2005. The output of China amounts to approximately 400 million tons, which is approximately one third of global crude steel production. As a result, China has become a net exporter of crude steel.
For stainless steel, market researchers expect global production in 2006 to rise to approximately 28 million tons, up 14% compared to 2005. Demand growth was solid in all regions of the world, with China showing continued double-digit increases in stainless steel demand.
Sources: ISSF, IISI