German steel industry federation Wirtschaftsvereinigung Stahl (WV) is forecasting crude steel production of around 35.5 million tons for 2023, down 4% annually.
According to the WV, the downward trend in steel production is expected to continue until the end of 2023, with energy costs and a weak economy resulting in a decreasing trend in production. Since March 2022, production has fallen for 21 months, with the exception of a slight increase in September 2023. According to WV Stahl, Germany has never experienced such a long-term negative cycle before.
In particular, WV Stahl is emphasizing the major decline in electric arc furnaces. Production of EAFs (Electric Arc Furnaces) dropped by around 20% compared to the previous year following the energy price downturn.
Crude steel production in November was recorded at 2.7 million tons, down 2.4% compared to November 2022. The blast furnace decline (6.7%, 1.83 million tons) was probably due to temporary shutdowns at several mills, while EAF production was up 8.7% to 871,000 tons.
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