European Union

The initial thaw in the European market has Indian steel companies smiling. In fact, the country’s largest private steel company Tata Steel Ltd. has just posted better than expected first quarter results, attributed to a “phase of solid economic growth in Europe supporting the recovery in steel demand in its main market.”

FREE Download: The Monthly MMI® Report – covering Steel/Iron Ore markets.

The world’s topmost steelmaker ArcelorMittal had posted Q1 results last week and said that prospects for Europe and North America were encouraging.

For Tata, the strong showing in Europe comes as a relief. Staring in the face of a global downturn for years, the company had somehow managed to remain in the black in the last four quarters with intensified measures such as cost cutting and pushing high-end product.

{ 0 comments }

All in all, Europe is too deeply engaged economically in Russia, and Russia in Europe, for either side to let this get out of hand. (We delved into the numbers of the economic relationship between Russia and the EU in Part One here.) Sanctions against individuals are one thing, and for sure, vested interests in...

For full access to this MetalMiner membership content:
Log In |

Anyone trading extensively (or even in a limited fashion but for key components) with Russia is no doubt anxiously watching developments in Ukraine and the almost-daily ramping up of tensions on both sides, with threats of sanctions countering military posturing. Reuters reports that both the ruble and Russian stocks are down sharply on Thursday and […]

{ 0 comments }

Last week, the European Union proposed conflict minerals legislation wildly different than what US manufacturers must currently comply with, calling for voluntary participation from importers only. And yet the proposed EU legislation sees the pinch-point where it exists – at the smelter level. “Focusing efforts at the root of the issue – material going into smelters and refiners – […]

{ 0 comments }

Don’t faint, but the European steel sector is finally on the up. Now let’s not go crazy – we don’t mean “on the up” in a Chinese or even a US sense. We are not talking +10% growth or even +4% growth, as in the US, but more like +2%. Even still, it’s a welcome […]

{ 0 comments }

A recent article in the Economist explores the issue of commodity price benchmarks, those oft-quoted numbers that we take as gospel and, indeed, trillions of dollars of derivatives and contracts are priced against every year. Numbers such as Dated Brent and Light Louisiana Sweet in the oil industry are matched by dozens of others in […]

{ 0 comments }

The crisis in Ukraine’s capital, Kyiv, stemming from President Viktor Yanukovych’s refusal to continue talks with the European Union on a trade deal late last year, and escalating due to his administration’s draconian measures against protesters in last few weeks, has unquestionably rippled through commodities markets. A Little Background Upon the USSR’s dissolution in 1991, […]

{ 0 comments }

Europe’s carmakers are, on the whole, having a torrid time. Car sales in the EU stood at 13.1 million in 2012, down from 16 million in 2008, and are on track to fall by around 7% this year, says the FT, to just over 12 million vehicles. EU factories have the installed capacity to build […]

{ 0 comments }

This is Part One of a Two Part Series. Platts’ Steel Business Briefing reported the essentials of the European Commission’s recent “action plan” designed to address the challenges facing the European steel industry. Steel demand in Europe today remains 30% below pre-crisis levels. At the same time, the European steel industry continues to face the […]

{ 0 comments }

A debate is going on among Europe’s steel producers about how best to save the industry. All of them agree that with demand down some 30 percent below pre-crisis levels and no sign of an imminent recovery, excess capacity needs to be closed. Yet politicians and labor unions are fighting closures at every turn while […]

{ 3 comments }