Real steel consumption in the European Union is forecast to decline by over three percent in 2013, according to the Economic and Steel Market Outlook 2013-2014/Q2 2013 Report from the Economic Committee of the European Steel Association (EUROFER).
In the first quarter of 2013, real consumption of steel in the EU is estimated to have fallen 5.7 percent compared to the corresponding period of the previous year, with this contraction even a bit sharper than that registered over the whole of 2012, indicating that business conditions in the end-user sectors have remained difficult.
EUROFER stated that the prospects for the remainder of 2013 are dull. Although activity in the steel using sectors in the EU is foreseen to stabilize at a low level towards the end of the year, real steel consumption will continue to decline owing to the negative impact of steel intensity, albeit at a less negative year-on-year rate.
According to EUROFER, the outlook for 2014 shows a very cautious recovery in real steel consumption. The expected real steel consumption growth of around one percent contrasts sharply with the eight percent reduction in consumption registered over the past two years.