From the Newsroom*
São Paulo – The Brazilian Iron and Steel Sector Association (IBS) estimates that steel production this year should total 34 million tonnes, which should correspond to an increase of 9.9% compared with last year. According to the organisation, the sector had a year of record-highs in production, in domestic sales and apparent consumption, which is the sum of national production and imports, minus exports.
Domestic sales should grow 18% over last year, to reach 20.6 million tonnes, whereas apparent consumption should record a 19.7% increase, totalling 22.1 million tonnes. Exports this year should total 10.5 million, representing a 15.6% decrease in comparison with 2006. Despite the reduction, total revenues from foreign sales should stand at US$ 6.8 billion, a 1.4% reduction compared with last year. Imports are forecasted to close the year at 1.6 million tonnes, a decrease of 12%.
The IBS perspectives for 2008 are positive. The institute estimates that production will total 37.6 million tonnes of raw steel, which will represent an increase of 10.8% over 2007. With regard to exports, the sector estimates that they should reach 12.4 million tonnes, a 17.9% increase. According to information supplied by the IBS, this growth will be possible due to the increase in industrial production capacity. This year, the installed capacity in the Brazilian steel industry reached 41 million tonnes.
*Translated by Gabriel Pomerancblum
