Spain increased steel production by 13.7% y/y in April

During January-April, Spanish steelmakers increased steel output by 1.7% y/y

Spanish steelmakers increased steel production by 13.7% in April 2024 compared to the same month in 2023, to 1.12 million tons. Thus, the country ranked 16th in the global ranking of steel producing countries (71) by the WorldSteel Association.

Compared to March this year, Spanish steelmakers increased steel production by 4.4%. Thus, steel production in the country has reached its highest level since March 2023.

In January-April 2024, Spain increased steel production by 1.7% compared to the same period in 2023, to 4.04 million tons. Average monthly steel production for 4 months amounted to 1.01 million tons compared to 983.5 thousand tons a year earlier.

Overall, steel production in the European Union in January-April 2024 decreased by 0.6% compared to January-April 2023 – to 44.4 million tons. Global steel production for 4 months amounted to 625.4 million tons, down 0.9% y/y.

In 2023, Spain reduced steel production by 2.7% compared to 2022, to 11.26 million tons. The average monthly steel production amounted to 938.5 thousand tons, while in the same period of 2022 the figure was 964.42 thousand tons (-2.69% y/y).

There are 17 steel enterprises in Spain: Megasa Siderúrgica Narón (capacity of 700 thousand tons of steel per year), ArcelorMittal Asturias (1.2 million tons per year), ArcelorMittal Olaberria-Bergara (4.2 million tons per year), ArcelorMittal Asturias steel plant DRI and EAF expansion (1.1 million tons per year), Celsa Global Steel Wire Santander (750 thousand tons per year), ArcelorMittal Sestao (2 million tons/y), Sidenor Aceros Especiales Basuri (740 thousand tons/y), Celsa Global Steel Wire Santander (750 thousand tons/y), Celsa Global Steel Wire Santander (750 thousand tons/y), Celsa Nervacero (1 million t/y), ArcelorMittal Olaberria-Bergara (1.45 million t/y), Grupo Gallardo Corrugados Azpeitia (800 thousand t/y), Megasider Zaragoza (500 thousand t/y), Celsa Barcelona Castellbisbal (2.5 million t/y), Grupo Gallardo Corrugados Getafe (600 thousand t/y), Hydnasilk (600 thousand t/y), Hydnum Steel Castilla-La Mancha (600 kt/y), Grupo Gallardo Siderurgica Balboa Jerez de los Caballeros (1.3 mt/y), Riva Siderurgica Sevillana (1.3 mt/y), Acerinox Europa Los Barrios (1.2 mt/y).

The total capacity of steel plants is 21.94 million tons per year. Thus, in 2023, capacity utilization was 51.3%.

The low steel production figures for last year are due to the weak market conditions that have been observed since the fall of 2022. The European steel industry is facing high production costs at a time when demand for domestic steel products is weak amid a flood of cheaper imported products. In the fall and winter, many companies are limiting their capacity to balance supply and demand and stabilize prices.