This Morning in Metals: Core markets ‘showing signs of recovery,’ ArcelorMittal says

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This morning in metals news: ArcelorMittal expressed some optimism in its markets for the remainder of the year; tin prices made significant gains in July; and Anglo American released its financial results for the first half of the year.

ArcelorMittal sees some recovery underway

The coronavirus pandemic has hit many sectors, including steel, hard.

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Steelmaker ArcelorMittal, however, says it has seen some recovery in its core markets.

“It has also become clear in recent months that governments around the world will align efforts to stimulate the economic recovery with the transition to a low carbon economy,” CEO and Chairman Lakshmi N. Mittal said.

“ArcelorMittal recently published its roadmap to reduce emissions by 30% in Europe by 2030 and we were encouraged to see last week’s proposal by the European Council to introduce a carbon border adjustment. Technologically we know that it should be possible to produce carbon neutral steel, but success is co-dependent on policy, of which the carbon border adjustment is an important component, as is access to EU funds.”

The firm reported a net loss in the first half of $1.68 billion. ArcelorMittal posted a net loss of $559 million in the second quarter.

Tin prices up 7.5%

According to the International Tin Association, tin prices increased by 7.5% this month.

Analyst James Willoughby explained the metal’s rise in a note Thursday.

“Much of this move has been on the back of technical momentum and the weak US dollar, although some disruptions in Bolivia and Myanmar are notable,” Willoughby explained.

Anglo releases interim H1 2020 results

Miner Anglo American reported H1 2020 profit attributable to equity shareholders of the company of $471 million.

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The first-half profit figure marked a 75% year-over-year decline.

Underlying EBITDA in the first half of 2020 reached $3.35 billion, down 39% year over year.

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