Global Steel Production Declines in July as Chinese Output Slows
Worldwide crude steel production fell slightly in July, with a year-over-year decline of 0.3%, driven primarily by weaker output from China. While global producers outside China saw growth, including strong performances from India (1.9% annual increase), the US (+4.4%), Turkey (+7.0%) and South Korea (+6.4%), Chinese production dropped 3.6%. Early August data suggests further declines in China's steel output, with a reported year-over-year drop of 4.9%, despite continued high export volumes. In Europe, crude steel production showed signs of recovery, particularly within the EU27 and UK combined markets, which saw annual growth of 3.5%. Germany (+8.1% cumulative), Italy (+3.6%) and Finland (up 13.0%) were notable performers. However, some countries like Spain (-13.8%), Poland (-6.1%) and the UK (-18.0%) continued to struggle with year-to-date declines. European steel producers are benefiting from stronger margins as hot-rolled coil spreads rose to $464 per tonne in July—well above their long-term average of around $320 per tonne.
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