While the world keeps on producing abundant ingredients to build it, global steel production continues to slide.
Overnight the World Steel Association released its June crude steel production report with volumes declining to 136 million tonnes, a drop of 2.4% compared to a year earlier.
In China — the world’s largest producer — volumes fell 0.8% to 69 million tonnes, compared to June 2014.
Production also fell in Japan (-6.2%), South Korea (-3.6%), Russia (-7.5%) and the US (-8.5%) but rose in India (+0.8%) and Germany (+5.8%).
Given global steel production has been falling in annualised terms since the beginning of the year, it’s no wonder that so many analysts are bearish on the outlook for iron ore and coking coal prices given the ongoing pickup in global supply.
The full report from the World Steel Association is here.