A new short-range forecast of global steel demand anticipates a continuing decline through the remainder of 2016 before a slight recovery takes hold in 2017. The forecast is a semi-annual report by the World Steel Association, the trade group that includes steelmaking enterprises in 66 nations, about represents 85% of the total global steelmaking capacity.
Global steel consumption rates have been declining for more than two years, and production volumes have been falling in response. Even so, the market is presently operating at below the installed capacity, weakening prices and contributing to future forecasts for lower demand
The latest forecast indicates that global steel demand will decline by 0.8% this year to an estimated 1.488 billion metric tons, following the 3.0% annual decline shown in the 2015 global steel production (1.62 billion metric tons.)
Looking further, the new forecast sees global steel demand growing by 0.4% in 2017, to a total of 1.49 billion metric tons.
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