For the first time in more than twelve months, global steel production fell year on year in August. And it is likely to continue to decline because China wants to reduce greenhouse gas emissions.
In August, steel production fell by 1.4 percent year on year to almost 157 million tons. This is according to data from the World Steel Association. This is the first decline in the production of an important industrial raw material since July last year. The largest decrease in steel production was recorded in China, where it decreased by 13.2 percent to 83.2 million tons. China has thus secured more than half of global steel production.
According to analysts, however, the decline in steel production will continue in the coming months. This is allegedly due to the policy of the Chinese government, which is trying to reduce the volume of steel produced due to greenhouse gas emissions. However, it is also a question of whether the Chinese government will change its approach once steel prices start to rise, as it is expected to be scarce in the global market.
In other countries, however, steel production has grown. In Japan by less than 23 percent, in the USA even by almost 27 percent, in India by more than eight percent. It was India that benefited from China’s limited production.
