1. Market Research
  2. > Construction Market Trends
Global Steel Industry

Global Steel Industry

  • April 2021
  • 594 pages
  • ID: 3907009
  • Format: PDF
  • Global Industry Analysts

Summary

Table of Contents

MARKET IMPACT SURVEY - COVID-19 & LOOMING RECESSION

Timely market intelligence is paramount in these uncertain times!

We launched an impact survey to update this project with timely insights during 2020. Update frequency will depend upon evolving market conditions and executive opinions. Our participants are executives driving strategy, marketing, sales and product management at competitive companies worldwide. All updates during the rest of the year are complimentary to clients!

Abstract:
- Unsettled by the Pandemic, Steel Industry to Post a -5.5% Reduction in Consumption in 2020
- With all major end-use sectors collapsing like a house of cards, global steel market is expected to slump by -5.5% in the year 2020 highlighting a 6.5 million metric ton erosion in consumption. Thereafter the market is expected to recover and reach 156.1 million metric tons by the year 2027 trailing a post pandemic CAGR of 5% over the analysis period 2020 to 2027.The construction industry which accounts for 45.7% of world steel consumption is facing the brunt of labor migration, capital constraints and disruptions in construction material supply chain. Diversion of government funds from infrastructure development to pandemic firefighting has additionally impacted the construction industry, which is dependent to a large extent on infrastructure projects. In several countries, all non-essential construction projects have been put on hold with the exception of building emergency hospitals for COVID-19 care. Residential construction is taking a beating with millions of people worldwide pushed into unemployment as businesses either go bankrupt or layoff workforce to stay afloat. Unemployment rates are climbing to worrisome levels in both developed and developing economies alike. For the construction industry, this brings bad news as new housing starts go into deep freeze. The long shadow of the coronavirus is thwarting home-buying plans of consumers. With countries seeing a second wave of infections, the Covid-19 resurgence is likely to undermine the much awaited chances of a V-shaped recovery. Challenges of maintaining social distancing at construction sites is resulting in difficulties in obtaining project clearances from regulatory authorities. Ensuring raw material availability still remains a challenge for most construction contractors.
- The machinery industry which is accounts for 18.1% share of global steel consumption is also feeling the weight of falling industrial output and a crumbling manufacturing sector. The worst affected industry in this pandemic driven crisis is manufacturing with its complex supply chains, labor intensive processes, and interdependencies. Division of labor, modular manufacturing strategies, outsourcing to reduce costs and increase the efficiency, consistency, and quality of each operations, have made the manufacturing sector most vulnerable amid the lockdown restrictions. An indication of the grim state of affairs is the fact that global manufacturing PMI is already declining and will fall to an estimated all-time low of 35.4 points in 2020 as compared to 53.8 in 2019. This indicates severe contraction of manufacturing activity including new orders, production, employment, supplier deliveries, inventories, customers` inventories, commodity prices, order backlog, new export orders, and imports. Global industrial output is plummeting sharply with the U.S posting steep declines of -16.5% & -15.2% in March & April 2020. The slumping demand for machine tools in response to these challenges is impacting steel demand and consumption.
- Transportation and household appliances, which together accounts for 19.2% of world steel consumption ,are also feeling the heat of the crumbling aviation, automobile, ship building and consumer durable goods industry. The aviation industry has been brought down to its knees hurt by grounded flights as countries across the world sealed their borders amid stringent travel restrictions imposed in 1Q of 2020. Several airline companies across the world, especially low cost carriers, have already voiced concerns about going bankrupt without timely aid and financial rescue measures from the government. Widespread travel bans and sealing up of international and regional borders by governments worldwide to contain the spread of the disease has been a significant financial blow for airline operators. Even as governments cautiously begin to ease restrictions in 2Q of 2020, the rising second wave of infections is doing but little to bring hope to the aviation industry. With all non-essential travel coming to a halt and with the tourism industry virtually decimated a longer-term impact is more than likely to be felt by the aviation industry. The industry which suffered over US$32.6 billion in April 2020 will likely see the losses mount to over US$120.2 billion by December 2020.
- With the world economy now caught in the worst recession of its kind, the impact is no more a short-term crisis. Staff downsizing and capacity reductions will now be rampant as airlines struggle to reduce costs and stay afloat. Under this scenario, a hold back on fleet expansion plans and cancellations of new aircraft purchase orders is impacting steel consumption. Similarly with world trade expected to fall by 20% to 30%, the disruptions in sea trade and falling shipping service revenues is taking its toll on demand for ocean going vessels. Chinese massive shipbuilding industry, the largest in the world received only one new order in February 2020.
- Household appliances and automobile sales and production are also plummeting due to falling consumer confidence levels. Over 33 million Americans are unemployed and the share of population unemployed dropped sharply from a recent high of 62% in January 65.7% in July 2020. With the labor market in doldrums, consumer spending is plummeting. The loss in consumer confidence and erosion of household wealth and discretionary spending will impact virtually every industry and business worldwide. The COVID-19 pandemic has therefore pushed consumers to conserve cash. With unemployment rates rising amid the virus induced economic crisis, consumers are cutting spending budgets. Social outlook against this background remains grim with households expected witness erosion in wealth. Personal financial outlook, community, economy, job security confidence, purchasing and investment confidence are all tumbling as the human and economic cost of the global pandemic rises. The loss in consumer confidence and erosion of household wealth and discretionary spending will impact virtually every industry and business worldwide. As discretionary funds are used to purchase consumer electronics, household appliances and automobiles, demand highly correlates with GDP. The -3% global GDP estimated for 2020 is therefore aggravating market woes. Excluding electronic hardware required for work-from-home (WFM), demand for all other consumer electronics are declining sharply. Smartphones, TVs, smart speakers, automobiles, and smart watches, among others have all recorded declines in retail sales. The auto industry is also facing an uncertain future amid the global recession with the reduction in automobile sales expected to be steepest in the year 2020 as compared to other recessions of the past.

Select Competitors (Total 157 Featured) -
  • Ansteel Group Corporation Limited
  • ArcelorMittal S.A.
  • China Baowu Steel Group Corporation Limited
  • EVRAZ plc
  • EVRAZ NTMK
  • Gerdau S.A.
  • HBIS Group
  • HYUNDAI Steel Company
  • JFE Steel Corporation
  • Jiangsu Shagang Group
  • Nippon Steel & Sumitomo Metal Corporation
  • Nucor Corporation
  • POSCO
  • Riva Group
  • Shandong Iron and Steel Group Co. Ltd.
  • Shougang Group Co., Ltd
  • Tata Steel Group
  • Tata Steel Europe Ltd.
  • thyssenkrupp Steel Europe AG
  • United States Steel Corporation

Get Industry Insights. Simply.

  • Latest reports & slideshows with insights from top research analysts
  • 150+ Million searchable statistics with tables, figures & datasets
  • More than 25,000 trusted sources
  • Single User License — provides access to the report by one individual.
  • Department License — allows you to share the report with up to 5 users
  • Site License — allows the report to be shared amongst all employees in a defined country
  • Corporate License — allows for complete access, globally.

ReportLinker may already be registered as a supplier with your company. If you want to Order by PO, check with us first and we'll let you know if we are a registered supplier and what the vendor number is. Otherwise, we'll provide you with the necessary information to register ReportLinker as a vendor.

Ahmad helps you find the right report:
Testimonials

The research specialist advised us on the best content for our needs and provided a great report and follow-up, thanks very much we shall look at ReportLinker in the future.

Kate Merrick

Global Marketing Manager at
Eurotherm by Schneider Electric

We were impressed with the support that ReportLinker’s research specialists’ team provided. The report we purchased was useful and provided exactly what we want.

Category Manager at
Ikea

ReportLinker gave access to reliable and useful data while avoiding dispersing resources and spending too much time on unnecessary research.

Executive Director at
PwC Advisory

The customer service was fast, responsive, and 100% professional in all my dealings (...) If we have more research needs, I'll certainly prioritize working with ReportLinker!

Scott Griffith

Vice President Marketing at
Maurice Sporting Goods

The research specialist provided prompt, helpful instructions for accessing ReportLinker's product. He also followed up to make sure everything went smoothly and to ensure an easy transition to the next stage of my research

Jessica P Huffman

Research Associate at
American Transportation Research Institute

Excellent customer service. Very responsive and fast.

Director, Corporate Strategy at
Ingredion

I reached out to ReportLinker for a detailed market study on the Air Treatment industry. The quality of the report, the research specialist’s willingness to solve my queries exceeded my expectations. I would definitely recommend ReportLinker for in-depth industry information.

Mariana Mendoza

Global Platform Senior Manager at
Whirlpool Corporation

Thanks! I like what you've provided and will certainly come back if I need to do further research works.

Bee Hin Png

CEO at
LDR Pte Ltd

The research specialist advised us on the best content for our needs and provided a great report and follow-up, thanks very much we shall look at ReportLinker in the future.

Kate Merrick

Global Marketing Manager at
Eurotherm by Schneider Electric

FAQ
  • How we can help
    • I am not sure if the report I am interested in will fulfill my needs. Can you help me?
    • Yes, of course. You can call us at +33(0) 4 37 65 17 03 or drop us an email at researchadvisor@reportlinker.com to let us know more about your requirements.
    • We buy reports often - can ReportLinker get me any benefits?
    • Yes. Set up a call with a Senior Research Advisor to learn more - researchadvisor@reportlinker.com or +33(0) 4 37 65 17 03.
    • I have had negative experiences with market research reports before. How can you avoid this from happening again?
    • We advise all clients to read the TOC and Summary and list your questions so that we can get more insight for you before you make any purchase decision. A research advisor will accompany you so that you can compare samples and reports from different sources, and choose the study that is right for you.

  • Report Delivery
    • How and when I will receive my Report?
    • Most reports are delivered right away in a pdf format, while others are accessed via a secure link and access codes. Do note that sometimes reports are sent within a 12 hour period, depending on the time zones. However, you can contact us to escalate this. Should you need a hard copy, you can check if this option is offered for the particular report, and pay the related fees.
  • Payment conditions
    • What payment methods do you accept?
      1. Credit card : VISA, American Express, Mastercard, or
      2. You can download an invoice to pay by wire transfer, check, or via a Purchase Order from your company, or
      3. You can pay via a Check made out in US Dollars, Euros, or British Pounds for the full amount made payable to ReportLinker
    • What are ReportLinker’s Payment Terms?
    • All payments must normally be submitted within 30 days. However, you can let us know if you need extended time.
    • Are Taxes and duties included?
    • All companies based in France must pay a 20% tax per report. The same applies to all individuals based in the EU. All EU companies must supply their VAT number when purchasing to avoid this charge.
    • I’m not satisfied. Can I be refunded?
    • No. Once your order has been processed and the publisher has received a notification to send you the report, we cannot issue any refund or cancel any order. As these are not ‘traditional’ products that can be returned, reports that are dispatched are considered to be ‘consumed’.
  • User license
    • The license that you should acquire depends on the number of persons that need to access the report. This can range from Single User (only one person will have the right to read or access the report), or Department License (up to 5 persons), to Site License (a group of persons based in the same company location), or Corporate License (the entire company personnel based worldwide). However, as publishers have different terms and conditions, we can look into this for you.
Purchase Reports From Reputable Market Research Publishers

Global High Performance Alloys Industry

  • $ 5600
  • April 2021
  • 486 pages

Abstract: - COVID-19 Looms Like a Great Thunderhead. Hit With a -16.4% Erosion in Demand, HPA Market Collapses - The global market for High Performance Alloys (HPA) is expected to slump by -16.4% in ...

  • World
  • Construction
  • Industry analysis
  • Industrial Production
  • Building Materials Production

Global Ferrosilicon Industry $ 5600 April 2021

Global Metal Powders Industry $ 5600 April 2021


ref:plp2021

Reportlinker.com © Copyright 2021. All rights reserved.

ReportLinker simplifies how Analysts and Decision Makers get industry data for their business.

Make sure you don’t miss any news and follow us on