Global crude steel production fell month over month for the second straight month in July, the World Steel Association reported this week.
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Global crude steel production drops
Global crude steel production totaled 161.7 million metric tons in July, the World Steel Association reported.
The total marked a decline from 168 million metric tons in June. Furthermore, production totaled 175 million metric tons in May.
Meanwhile, July production jumped 3.3% on a year-over-year basis.
Chinese steel production curbs take hold
Beijing’s efforts to curb steel production might not have been particularly successful during the first half of the year, as Chinese steel production surged. Chinese steel production from January through June totaled 563.3 million tons, or up 11.8% year over year.
However, the country’s steel output has declined in each of the last two months.
After totaling 99.5 million tons in May, China’s steel production fell to 93.9 million tons in June, the World Steel Association reported. Output slipped further still in July, dipping to 86.8 million tons.
Earlier this year, Beijing issued a warning to commodities speculators in an effort to tamp down rampant price gains. However, efforts to curb steel production could work against that directive.
In terms of exports, China exported 5,669,000 tons in July, according to General Administration of Customs data. From January to July, Chinese steel exports reached 444,570,000 tons, marking a 30.9% year-over-year increase. On a U.S. dollar value basis, the value of those imports jumped by 68.5% year over year.
Around the world
Among other top steel producers, India’s July production totaled 9.8 million tons, up 13.3% year over year. For the year to date, India’s production rose by 28.7%.
Japan, the third-largest steel producer, churned out 8.0 million tons in July, up 32.5% year over year. Japan’s production in the year to date jumped by 16.2% year over year to 56.1 million tons.
U.S. production reached 7.5 million tons in July. Furthermore, U.S production in the year to date reached 49.5 million tons, up 18.5% year over year.
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