MUMBAI (Commodity Online): World Steel Association has forecasted that the usage of apparent steel will increase by 13.1% in 2010 citing steady recovery in the global economies.
According to WSA, steel usage will increase by 13.1% to 1272 million metric ton as compared to previous year. The forecast represents an improvement of 35 mmt over the April short range outlook for 2010 exceeding the pre-crisis peak of 1222 mmt in 2007.
Commenting, Daniel Novegil, Chairman of the world steel Economics Committee said, \"Our first SRO forecast after the economic crisis in 2009 suggested 8.4% growth in steel demand in 2010. We have now revised this figure up to 13.1%\".
This improved outlook is due to a better than expected forecast for the developed economies particularly the EU, NAFTA, and the CIS as well as the continued strong rebound in most emerging economies. This suggests a steady and stable steel recovery, and our current forecast does not foresee a double dip recession as feared by some, he added.