Recent rises in iron ore prices have been attributed to speculation that steel demand will recover in 2023. However, given the deep recession of China's real estate market in 2022, with new home construction recording a 39.4% annual contraction, we maintain our previous forecast
that, at best, China's steel demand will revive in 2H 2023 at the earliest. Steel demand in other major economies such as the EU, Japan, and South Korea is expected to continue declining as their macro economies remain weak throughout 2023.
On the other hand, India is expected to sustain a bright growth in steel demand of 6% due to government expenditure on infrastructure and projects.
Global crude steel output is projected to fall slightly by 1% in 2023, with +0.7% increase in China and -3% rest of the world.
Global crude steel output is projected to fall slightly by 1% in 2023, with +0.7% increase in China and -3% rest of the world.
For the iron ore seaborne market, a modest 1.5% volume growth is expected in 2023, mainly depending on exports from India and Brazil.
India authorities have reversed export duties on low-grade iron ore to zero, which would provide a significant boost to Indiaβs iron ore exports.
India authorities have reversed export duties on low-grade iron ore to zero, which would provide a significant boost to Indiaβs iron ore exports.
Furthermore, Brazilβs high-grade iron ore products are
becoming increasing favored by steelmakers from China and Gulf Countries.
If progress on debottlenecking $VALE βs mines goes according to plan in 2023, a 10 Mln t a year increase in S11D project output is expected.
via BRS
becoming increasing favored by steelmakers from China and Gulf Countries.
If progress on debottlenecking $VALE βs mines goes according to plan in 2023, a 10 Mln t a year increase in S11D project output is expected.
via BRS
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