Apparent steel consumption in the EU to grow by 5.6% y/y in 2024 – EUROFER

In 2023, the indicator is expected to decrease by 6.3% y/y

The European steel association EUROFER expects apparent steel consumption in the European Union to grow by 5.6% in 2024 compared to 2023, to 137 million tons. In 2025, the figure will increase by 2.9% y/y – to 140 million tons. This is stated in the Association’s review Economic and steel market outlook 2024-2025, first quarter.

In 2023, apparent steel consumption in the EU is expected to decline by 6.3% compared to 2022, to 129 million tons. At the same time, in 2022, the figure decreased by 6.5% y/y. Thus, in 2023, the demand for steel in the EU will fall to the level of 2020, a difficult period for the global industry due to the coronavirus pandemic.

In the third quarter of 2023, apparent steel consumption fell for the sixth consecutive quarter, down 3.9% y/y – to 30.4 million tons.

«The current decline in apparent steel consumption in the EU began in the second quarter of 2022 due to disruptions caused by the war in Ukraine, unprecedented energy prices and production costs. Demand deteriorated significantly during the second half of 2022, and this negative trend is expected to continue until at least 2024 as a result of rising global economic uncertainty, high interest rates, and overall weakness in manufacturing,» the association said.

In 2024, with a more favorable industrial outlook and improved demand for steel, apparent steel consumption will recover. At the same time, the overall demand dynamics remain very uncertain, EUROFER adds.

As GMK Center reported earlier, in 2023, EU steelmakers reduced steel production by 7.4% compared to 2022, to 126.3 million tons. In December, steel production increased by 2.7% y/y – to 9.1 million tons.