Record global stainless steel production forecast for 2019 and 2020

MEPS predicts global stainless steel production will hit a record 52.1 million tonnes in 2019. This will be a 3 percent increase over the previous record set last year. MEPS expects global production to continue to grow in 2020. A new peak volume of 54.2 million tonnes is projected for next year.

Manufacturing in China continues to expand significantly. The country's output is projected to grow more than 6 percent year-on-year in 2019 to reach 28.3 million tonnes, or more than 54 percent of the global total. A further increase is expected next year, around 5 percent.

India's stainless steel production is expected to show stable annual growth in excess of 3% and reach about 3.875 million tonnes this year. Similar growth rates are projected in 2020.

Although protective measures have been taken to prevent an increase in imports to the European Union, local demand is weak and export opportunities are limited. Consequently, stainless steel production in the region is projected to decline by about 6 percent year on year in 2019 to 6.95 million tonnes. Minimum growth is expected next year.

Domestic consumption has slowed significantly in the United States. This year, stainless steel production is projected to be about 3 percent below 2018, at 2.725 million tonnes. In 2019

moderate growth of about 2 percent is expected. Overwhelming global stainless steel production capacity, restrictions on protectionist trade and mediocre domestic demand are contributing to declining production in developed stainless steel producing countries in the Far East. South Korea is projected to fall by about 4 percent this year, while Japan and Taiwan are expected to record an annualized decline of about 10 percent in 2019. Moderate recovery is expected in all of these countries next. year.