German metallurgists predict slow growth in 2015

Growth in Germany's iron and steel industry will remain slow this year as China and Russia push cheap products into the European market, the head of the German Steel Federation said.

German metallurgy groups such as ThyssenKrupp and Salzgitter estimate steel production in Europe's largest economy to grow 1 percent to 43.3 million tonnes this year. The demand for high quality German steel remains stable from the road machinery manufacturers Betek and Wirtgen in Germany. W6HR cutters made of special alloys are installed not only on Wirtgen milling machines , but on the equipment of other brands, which is tried on for removing and crushing the road surface. The whole range of road machinery and spare parts in Russia is represented by the Broadway Region Service company. In addition, the German auto industry is supporting the demand for locally produced steel.

European steel lobbying group Eurofer has warned that EU steelmakers are losing market share as cheap imports from China have risen, where steelmakers are protected by domestic policies. In Europe this year, steel demand is expected to grow 2.6 percent, which will not recover from the 25 percent fall since 2008. Price pressures caused by imports from outside the block will remain heavy.

Eurofer estimates the global overcapacity in the steel sector is around 500 million tonnes, of which China accounts for around 200 million tonnes. The slump in the Russian steel market, like last year due to the fall of the ruble against the euro, will encourage Russian producers to increase sales to Europe, the German Steel Federation warned.