Global steel industry to see consolidation in 2008

摘要

Reports by both Fitch Ratings and OECD Steel Committee point towards a postive outlook for the steel industry in 2008. The Fitch Ratings ratings report said it expects further consolidation and margin compression in the global steel industry in 2008, and added the overall ratings outlook on the industry is stable. At the same time according to OECD Steel Committee, led by buoyant activity in Asian markets, and notwithstanding softened conditions in North America and moderation in Europe, the world steel market continues to be strong. But growing economic risks, associated mainly with housing market problems, cloud the outlook for 2008 to an extent, the report adds. World crude steel production is on track to grow by eight per cent or around 98 mt in 2007, to reach around 1,330 mt. China, obviously, is the driver. In the first 10 months of this year, Chinese steel production reached 409 million tonnes, up 18.1 per cent from a year earlier, growing faster than domestic demand.