Davis Index – Daily metal prices, scrap prices & global metal market

Some Mexican steelmakers and miners don’t anticipate the COVID-19 crisis will harm their production, but some have already instituted a series of measures to mitigate damage to both their businesses and employees.

 

An Altos Hornos de México (Ahmsa) spokesperson told Davis Index that the stringent sanitary practices the company adopted will not interfere with its output. Among the precautions implemented by the company are a suspension of plant visits and group activities, and forcing workers whose presences aren’t essential to work from home.

 

In a statement, Ternium Mexico said its industrial operations haven’t been compromised by the crisis, and that it has enforced a remote working policy for all of its non-essential employees. The company also put a moratorium on business travel, except to low-risk destinations.

 

Grupo México, the country’s largest miner, announced it’s implementing sanitary measures to prevent the virus from spreading through its facilities. 

 

Over the last few weeks, market participants have told Davis Index that the Mexican automotive and steel industries will be affected by the COVID-19 pandemic.

 

The virus has adversely impacted Mexican steel production all year, with crude steel output declining to 1.37mn mt in January from 1.63mn mt during the same month last year.

 

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