The 21st China Ferro-Alloys International Conference, hosted by Ferro-Alloys.com and International Metallurgical Resources Industry Association, will be held on March 2-4, 2025 in Xiamen City of SE China. We sincerely invite you to participate this unique event to expand your business. Please email to annkang@ferro-alloys.com if you are interested in any information.

 

*********************************************************

 

The economic and geopolitical conditions that have affected the European steel market over the past two years show no signs of improvement and have further deepened their negative impact on the sector in 2024. Growing uncertainty continues to weigh also on 2025 and 2026, with the outlook hinging on unpredictable developments especially as regards international trade. According to EUROFER’s latest Economic and Steel Market Outlook, the recession in apparent steel consumption in 2024 will be steeper than previously projected (-2.3%, down from -1.8%) and the expected recovery in 2025 has now been downgraded (+2.2%, down from +3.8%). Similarly, steel-using sectors’ recession has been revised downwards for 2024 (-3.3% from -2.7%), while growth projections for 2025 have also been lowered (+0,9% from +1.6%). Some acceleration is not expected until 2026 (+2.1%). Steel imports remain at historically high levels (28%) also in the third quarter of 2024.

 

“We can no longer cope with a situation where external factors beyond steelmakers’ control – massive steel dumping, uncompetitive energy and carbon prices, collapsing demand, trade and geopolitical tensions - are structurally undermining our industry. The initiatives the European Commission will put forward in the coming weeks will determine the future of the EU steel industry, its quality jobs and, with it, the future of EU manufacturing, competitiveness and security. The thousands of European steel and industry workers who took to the streets of Brussels are a powerful reminder of what is at stake”, said Axel Eggert, Director General of the European Steel Association (EUROFER), following the publication of the Economic and Steel Market Outlook Q1 2025.  

 

EU steel market overview

 

In the third quarter of 2024, apparent steel consumption continued its downward trend (-0.9%, following -1.4%), reaching a total volume of 30.4 million tonnes. No improvement is expected before the first quarter of 2025, with consumption volumes remaining well below pre-pandemic levels. The overall evolution of steel demand remains subject to very high uncertainty.

 

Also domestic deliveries further declined (-2.3%, after -1.6%) in the third quarter. During the same period, imports resumed their upward trend (+1%) while maintaining their overall share at a historical high of 28%.

 

EU steel-using sectors

 

The performance of steel-using sectors deteriorated further, recording another sharp drop (-4.1%, after -2.1%) in the third quarter of 2024. This decline was driven by recession especially in the automotive and construction, exacerbating difficulties already faced by the other sectors. As a result, projections for the Steel Weighted Industrial Production index (SWIP) have been cut once again for both 2024 and 2025, with recession deepening to -3.3% from -2.7% and recovery weakening to +0.9% from +1.6%, respectively. Moderate growth is expected in 2026 (+2.1%).