Steel output down in most of world in 2022

Statistics gathered by the Brussels-based World Steel Association (Worldsteel) show 8 of the 10 largest steelmaking countries reduced their output in 2022, with India and Iran being the exceptions.

Combined, the 64 nations that report figures to Worldsteel made about 1.83 billion metric tons of steel in 2022. That volume is down 4.3 percent from the approximately 1.91 billion metric tons of output in 2021.

China, the world’s largest producer, slipped just 2.2 percent in 2022. However, because of the enormous amount of steel made there, it led the world by its decline in tonnage, making nearly 20 million tons less steel last year compared with 2021.

For the United States scrap sector, 2022 was a tough year on the demand side in part because U.S. steel output fell by 5.9 percent (about 5.3 million metric tons compared with 2021). The leading export destination for U.S. scrap processors, Turkey, saw its steelmaking output fall by 12.9 percent in 2022, reducing its output by about 5.3 million metric tons compared with the year before.

The rising steel output of India remains a cause for optimism in the U.S. and European scrap markets, with the nation’s policymakers saying they expect the steel sector there to keep growing.

The 124.7 million metric tons of steel made in India in 2022 represented a 5.5 percent year-on-year increase compared with the 118.1 million metric tons produced in 2021. Iran, which faces numerous trade restrictions with the U.S., increased its steel output by 8 percent in 2022 compared with the prior year.

India’s neighbor Pakistan also produced more steel in 2022 compared with 2021 (an additional 600,000 metric tons), though that nation currently is struggling with a U.S. dollar balance of payments issue.

Bangladesh, another steady-to-growing export market for recyclers in the U.S. and Europe, maintained a stable output of 5.5 million metric tons of steel produced in 2022 compared with 2021.

The year-end steel output figures gathered by Worldsteel can be found here.