Steel industry news and business information website.

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Our main business activity is steel industry capital investment appraisal.
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STEEL NEWS REPORTS

CORPORATE NEWS


scrap

Global Vanadium market segmentation application with ... tweet
Sun 14th Oct 2018 15:16 GMT
Access Report at: www.themarketreports.com/report/glrvey-report-2018 Companies like Bushveld Minerals, VanadiumCorp, Evraz, Panzhihua Iron and Steel Group, Largo Resources Ltd., Atlantic, Glencore, X [full report]

ArcelorMittal signs pact to sell 4 European steel plants ... tweet
Fri 12th Oct 2018 01:00 GMT
The four assets are part of a divestment package that ArcelorMittal agreed with the European Commission (EU) related to its acquisition of Ilva SpA (Ilva), it said [full report]

Research details developments in the Steel Cord Market ... tweet
Thu 11th Oct 2018 06:52 GMT
Shandong Snton Steel Cord, Bridgestone, Shougang Century, Tokusen, Tokyo Rope Mfg, Hubei Fuxing New Material, Bmz, Henan Hengxing, Junma Tyre Cord, Sumitomo Electric Industries, Sodetal and others. Ac [full report]

BHP aims to restart Olympic Dam copper facility this ... tweet
Thu 11th Oct 2018 00:25 GMT
In Brazil meanwhile, it is still too soon to say when BHPs Samarco iron ore operations, a joint venture with Vale , will resume output following a dam burst in late 2015. Brazil says this was [full report]

BHP eyes Olympic Dam restart this month; Samarco restart ... tweet
Wed 10th Oct 2018 13:29 GMT
In Brazil, Henry says it is still too early to say when the BHP-Vale Samarco iron ore joint venture will resume production following the 2015 tailings dam burst. We're not on the cusp of a [full report]

P&G gets steel tariff exemption for Gillette, Venus ... tweet
Tue 9th Oct 2018 14:01 GMT
P&G and Edgewell both said that U.S. steel manufacturers cannot supply the high-quality Heres a Better Stock to Buy The Motley Fool More From Reuters - Exclusive: Brazil's Bolsonaro would not sell [full report]

Specular Hematite Market Key Vendors, Driver, Challenges ... tweet
Tue 9th Oct 2018 01:44 GMT
Companhia Siderurgica Nacional, Australasian Resources, Rio Tinto, BHP Billiton, Fortescue Metals Group, Atlas Iron, Gerdau, Baotou Iron & Steel, Arrium (SIMEC), BC Iron, National Iranian Steel, Cleve [full report]

Mining Co. Says No Class Cert. In Brazil Dam Collapse ... tweet
Mon 8th Oct 2018 19:08 GMT
The case was brought in response to the collapse of the dam, which was a repository of iron ore tailings. In addition to the 19 Vale owned half of Samarco Mineracao SA, which owned and operated [full report]

INDUSTRY NEWS


Iron ore prices are still climbing tweet
Sun 14th Oct 2018 14:37 GMT
Reports that steel mills in Tangshan, Chinas largest steel-making city, have been ordered to cut output between October 11 to 18 due to the likelihood of adverse weather conditions likely underpinned [see news]

ASX appears poised to miss rally, futures point to lower ... tweet
Sun 14th Oct 2018 12:47 GMT
Prices of steel rebar rose on Friday, posting the best week since mid-August as tougher production restrictions in the country's top steelmaking hub raised concerns about short supplies. Tangshan city [see news]

Shanghai rebar climbs after Tangshans emergency output ... tweet
Fri 12th Oct 2018 15:08 GMT
Prices of steel rebar rose on Friday, posting the best week since mid-August as tougher production restrictions in the countrys top steelmaking hub raised concerns about short supplies. Tangshan city [see news]

Russia: Amurstal sales up in September 2018 tweet
Fri 12th Oct 2018 10:28 GMT
In September railroad sales of steel from Amurstal totaled 55.1 thousand tons, up 2.6-fold YoY. In January-September sales grew 5.2-fold, to 406.5 thousand tons. This year Russian customers received 138.2 thousand tons, while 268.3 thousand tons were exported. (Ukrainian metal) [see news]

Steel Forgings Market to Witness Huge Growth by 2025: ... tweet
Fri 12th Oct 2018 05:18 GMT
growth rate of Steel Forgings in these regions, from 2013 to 2023 (forecast), covering North America (U.S. & Canada) Market Revenue (USD Billion), Growth Analysis (%) and Opportunity Analysis La [see news]

BRIEF-Hunan Valin Steel Sees Q3 Net Profit At 1.93-2.13 ... tweet
Fri 12th Oct 2018 04:11 GMT
Oct 12 Reuters - Hunan Valin Steel Co Ltd: * SAYS IT SEES Q3 NET PROFIT AT 1.93-2.13 BILLION YUAN ($278.61-307.48 million) VERSUS 1.62 BILLION YUAN YEAR EARLIER Source text in Chinese: https://bit.l [see news]

Iron ore ignored the carnage seen in Chinese stocks tweet
Fri 12th Oct 2018 01:41 GMT
likely helped by reports of temporary steel production cuts in the Chinese city if Tangshan. China will release trade data for September later in the session. Iron ore spot and futures markets finishe [see news]

China's September iron ore imports rise ahead of winter ... tweet
Thu 11th Oct 2018 23:01 GMT
Steel mills churning out products ahead of winter the rates and timeframes for individual cuts. Top steelmaking city Tangshan has started production curbs from Oct. 1, while Handan city [see news]

China's Tangshan orders steel mills to halve output for ... tweet
Thu 11th Oct 2018 12:08 GMT
BEIJING Reuters - Chinas steelmaking hub of Tangshan has ordered mills to cut output by half from Oct. 11 to 18 due to forecasts of adverse weather, according to a city government document reviewed [see news]

To see other steel sector news reports, check out our other steel news pages.



SELECTED STEEL INDUSTRY MAPS


USA zinc coating lines
USA zinc coating lines

For other steel location maps, visit our steel industry maps page.




STEEL PLANT CAPITAL INVESTMENT COSTS



BOF SLAB PLANT

BOF-cc-slab
All cost estimates are in 2016 US dollars.
For further info visit our steel capex page.

Capital costs describe investment for an integrated slab plant with continuous casting, typically with coke, sinter etc. Representative investments include:

  • CSA slab mill investment in Sepetiba, Brazil
  • CSN investment in Itaguai, Brazil
  • CVRD-Baosteel joint venture in Vitoria, Espirito Santo in Brazil
  • Sinosteel Corporation's investment in Jharkand, India.

Average cost: $4300m
Average capacity: 4210 kt
Sample size: 12
Average cost/tonne: $1050/t


INTEGRATED HOT STRIP MILL

BOF-cc-hsm
All cost estimates are in 2016 US dollars.
For further info visit our steel capex page.

Chart describes investments in ore-based integrated steel plants with hot strip production and sometimes other additional downstream rolling capability. Typical examples include:

  • Wuhan Iron & Steel investment in Fangchengang Port in China
  • ArcelorMittal investment in Karnataka, India
  • Tata Steel joint venture with VSC & Vicem for investment in Vung Ang in Vietnam.

Average cost: $7560m
Average capacity: 6660 kt
Sample size: 16
Average cost/tonne: $1200/t

Notes
Analyses above were last updated in January 2016. For further item-specific capital investment data see our steel capex database page.




EMPLOYMENT BENCHMARKS



steel sector employment benchmarks

Chart above shows current employment levels at 114 different steel firms around the world - companies that make flat, long and/or tubular carbon steel products. An average steel producer with a production potential of ~3 mt steel/year typically thus has ~4000 employees. If your steel company employs more than this, please call us - our technical experts can assist with steel plant productivity improvement.

To discuss the interpretation of this chart and/or further information (including employment benchmarks for specialty steel production) please email us at the address shown at the foot of the page.




INDUSTRY SUPPLY & DEMAND FORECASTS FOR YEARS 2017-2018

Table below shows global crude steel production volumes and capacity figures - as assessed by World Steel Association and by the OECD to 2018 - and resulting calculation of steelmaking capacity utilisation. The overall picture for 2018 as compared to 2017 is that of a tiny reduction in the global capacity surplus [which will fall from ~602mt to ~598mt] and a small but significant improvement in world capacity utilisation at the crude steel level.



Year
Production
million t
Capacity
million t
Capacity
Utilisation
2012
1560
2102
74.2%
2013
1650
2273
72.6%
2014
1670
2322
71.9%
2015
1620
2368
68.4%
2016
1639
2370
69.2%
2017
1754
2356
74.4%
2018
1782
2380
74.9%
Source: MCI analysis. Table last updated 15-Nov-17.

Graph below shows the relationship between steel prices and global plant loading - and indicates (both for HRC and for rebar) that prices fall ~$27/tonne per 1% drop in capacity utilisation.



world steel price levels

In 2017, on the basis that world capacity utilisation remains largely at 2016 levels of approx 67.4% (see table), MCI's consultants expect steel prices to remain at 2016 levels. In 2018, assuming a very small improvement in global plant loading, we forecast just a tiny increase in steel price levels of the order of $5/tonne (hot rolled coil and reinforcing bar). For other products and / or for steel price forecasts through to 2020, please contact us.




OTHER USEFUL METAL INDUSTRY WEBSITES


Why not check out the following websites?

American Metal Market (AMM) at www.amm.com
Steel Guru at www.steelguru.com
SteelOrbis at www.steelorbis.com
Metal Bulletin at www.metalbulletin.com