Turkey reduced steel production by 3% m/m in October

In October 2024, steel enterprises in Turkey increased steel production by 0.7% compared to the same period in 2023, to 2.998 million tons. Compared to the previous month, the figure decreased by 3%. This is evidenced by data from the Global Steel Association WorldSteel.

In January-October, steel production reached 30.91 million tons, up 12.4% compared to the same period in 2023. Average monthly production was 3.09 million tons, up from 2.75 million tons in the first 10 months of last year.

Pig iron production in Turkey in October increased by 3.6% y/y and 0.5% m/m – to 845 ths tons, and for 10 months it increased by 23.8% y/y – to 8.62 million tons. Average monthly pig iron production in 2024 amounted to 862.2 ths tons compared to 696.4 ths tons a year earlier.

The growth in steel and pig iron production both in October and in the first ten months of the year underscores the effectiveness of measures aimed at modernizing enterprises and increasing their competitiveness. At the same time, the slight decline compared to September indicates seasonal fluctuations in demand and challenges in foreign markets, which remain a key factor influencing the dynamics of the Turkish steel industry.

WorldSteel recently downgraded its short-term forecast for global steel demand in 2024 to -0.9% y/y (1.75 billion tons). In particular, in Turkey, the figure will decrease by 5.5% compared to 2023, to 36 million tons. In 2025, the trend will continue, but the rate of decline will slow to 1.7% y/y (35.5 million tons).

As GMK Center reported earlier, in 2023, Turkey reduced steel production by 4% compared to 2022 to 33.7 million tons, and in 2022 – by 12.9% y/y, to 35.1 million tons. The decline in steel production in the country in 2022-2023 is due to macroeconomic instability, which has led to high uncertainty in the domestic market.