Steel production and demand increased in Latin America

According to data published by the regional steel association ALACERO, steel output increased by 4 percent during the first months of 2015. In addition, steel consumption in the region increased by 8 percent. In March 2015, rolled steel production increased by 3 percent to 4.9 million tonnes.

Latin America imported 4.4 million tonnes of rolled steel in the first two months, up 32 percent on an annualized basis. Moreover, imports accounted for 37 percent of total regional consumption. The region's exports fell 1 percent year-on-year to 1.3 million tonnes, resulting in a trade deficit of 3.1 million tonnes of rolled steel. In the first months of 2015, all countries in the region reported trade deficits. The largest deficits were reported in Mexico, Peru and Colombia.

Consumption of rolled steel in the region increased by 8 percent and amounted to 11.8 million tons in January-February this year. Consumption in Peru increased by 95 percent. Colombia and Mexico also recorded consumption increases of 13 and 12 percent, respectively. On the other hand, Argentina cut consumption sharply, while Brazilian steel consumption rose 4 percent.

In January-February 2015, Latin America produced 9.3 million tonnes of rolled steel, which is 4 percent higher than production in the same period a year earlier. Brazilian production reached 4.3 million tonnes, accounting for 46 percent of the region's total production. Mexico came in second with a total output of 2.9 million tonnes. Chile and Brazil's production increased by 8 and 7 percent, respectively.