The Latin American steel industry has recorded low levels of steel consumption due to the effects of the COVID-19 pandemic according to the Latin American Steel Association (Alacero).

 

Steel consumption in the region fell by 11pc in the first half of the year, Alacero said in a statement on Thursday without disclosing the volume.

 

Moreover, steel consumption decreased by 30pc in April this year on an annual basis, Alacero indicated, adding that Argentina’s consumption dropped by 83pc in April, the steepest fall among the region’s countries.

 

However, the association pointed out that the region began seeing improved steel production after mills across Latin America resumed operations in late-May and early June. 

 

Crude steel production increased by 8pc in May this year compared to April due to higher production from Brazil, Alacero noted, adding that the Latin American region’s indicators were in line with what was being experienced by steel industries worldwide.

 

Global steel demand could fall by 6.4pc this year and recover by 3.8pc during 2021, Alacero noted.

 

Latin American steel consumption may fall by 17pc this year due to the effects of COVID-19 pandemic. In 2019, the Latin American steel consumption decreased by 5pc to 64mn mt, according to Alacero data.

 

 

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