News Global Market Italy 11 May 2023
Costs of importing steel to the country increased by 33% y/y
In 2022, the steel industry of Italy increased the revenue from the export of steel products by 23.9% compared to the previous year – up to €27.2 billion. In natural terms, exports amounted to 15.7 million tons. It is stated by the local association of steel producers Federaccia at the Made in Steel conference in Milan.
The costs of importing steel products to Italy increased by 33% y/y over the past year – up to €26.9 billion. In natural terms, steel supplies to the country amounted to 20.3 million tons.
Thus, the total turnover of the steel sector in Italy last year increased by 15.8% compared to 2021 – up to €66 billion.
In 2022, Italy produced 21.6 million tons of steel, which is 11.6% less compared to the previous year. Last year, the production of rolled products decreased by 12% y/y, in particular, wire rod – by 11.6% y/y, to 5.2 million tons, bar – by 11.3% y/y, to 3.5 million tons. The output of rebar was 2.6 million tons (-12.5% y/y), and steel profiles – 752 thousand t (-16.1% y/y).
The production of sheet steel in 2022 fell by 13.8% y/y – to 9.6 million tons, hot-rolled coils – by 17.3% y/y, to 7.2 million tons, cold-rolled coils – by 9% y/y, to 5 million tons. Production of galvanized rolled steel was 3.7 million tons, which is 11.4% less y/y.
“After the rapid growth observed in 2021, in 2022 the apparent consumption of steel products returned to a negative trend, decreasing by 4.5% y/y – to 29 million tons. A slight reduction in steel consumption compared to the decline in steel production was balanced by increased imports,” the association notes.
As GMK Center reported earlier, Italy in March 2023 increased steel production volumes by 2.6% compared to the same month of 2022 – up to 2.18 million tons. The production of flat products decreased by 7.1% y/y – to 917,000 tons, and graded rolled steel – increased by 3.3% y/y, up to 1.3 million tons.
In January-March 2023, Italy reduced steel production by 6% compared to the same period in 2022 – to 5.63 million tons.