Raw steel production decreased 1.5% worldwide last month, falling from 132.3 million metric tons in July to 130.35 million metric tons during August. The weakening was driven by declines in major industrial markets, especially the European Union, but also in Japan and the U.S.

 

Raw steel production decreased 1.5% worldwide last month, falling from 132.3 million metric tons in July to 130.35 million metric tons during August. The weakening was driven by declines in major industrial markets, especially the European Union, but also in Japan and the U.S.

 

The August totals compare better with the August 2012 results, improving 5.2% over the 125.15 million metric tons produced that month. The eight-month totals for 2013 are 1.05 billion metric tons, which is 2.3% more than the January-August results for 2012.

 

Global steel production totals are reported by the World Steel Assn., which represents steelmakers in 64 countries. Its monthly report details production and capacity utilization for “raw steel,” the primary output of electric arc furnaces and basic oxygen furnaces, prior to metallurgical refining and casting into semi-finished products, such as slabs, blooms, or billets. The monthly report totals the global carbon and carbon alloy steel output; stainless steels and other specialty alloy steels are not included.

 

In line with the monthly decline, global steel capacity utilization declined from 76.8% in July to 75.4% in August. That rate is 1.0% higher than the August 2012 utilization rate.

 

The global decline in August tonnage was offset by increasing raw steel production in China. There, producers’ August output totaled 66.3 million metric tons, and increase of 12.3% over the July volume, and an increase of 12.8% over the August 2012 report. China’s year-to-date production totals are 2.3% higher than the eight-month total for 2012.

 

In Japan, steelmakers produced 9.1 million metric tons during August, down 1.6% from July and down up 0.6% from the August 2012 result. For the year-to-date, Japanese steelmakers have produced 73.15 million metric tons, an improvement of just 0.9% over the eight-month result from 2012.

 

South Korea produced 4.9 million metric tons of steel during August, 11.9% less than the July volume, and 13.1% less than the August 2012 total. The 2013 year-to-date total for South Korea is 43.5 million tons, 6.3% less than the comparable figure for 2012.

 

India’s steelmakers produced 6.6 million metric tons last month, 0.3% less than during July, and 09% more than during August 2012. That country has produced 52.9 million metric tons during the first eight months of 2013, 2.5% more than during the same period of 2012.