NO SIGNIFICANT INCREASE IN STAINLESS STEEL OUTPUT EXPECTED THIS YEAR
on July 1st, 2008 at 6:40 amDemand for stainless steel is weakening in most parts of the world. MEPS (International) Ltd forecasts global crude production virtually unchanged at 28 million tonnes in 2008. Western World output is expected to decline by 300,000 tonnes this year.
Domestic supply by the EU mills was down in the first quarter by almost 4 percent compared to the same period in 2007. Inventory building in the second half should lead to a figure for the full year at a similar level to that in the previous twelve months.
Japanese production was 10 percent lower, year on year, in the first trimester. Further output curbs are being put in place in mid-year. However, inventory replenishment may occur in the latter months – leaving the annual crude outturn 4 percent down on 2007.
US domestic output held up quite well during the first quarter. This situation should continue for the remainder of this year. The import threat was limited in the early months but may increase slightly. Nevertheless, we predict a similar outturn in 2008 to that recorded in the previous year.
For complete article go to http://www.meps.co.uk/editorial6-08.htm