Data released today shows global crude steel production totaled approximately 139.1 MMT last month, which is down month-on-month by 8.2 MMT (-6%) and down year-on-year by 4.2 MMT (-3%).  Particularly noteworthy is that production outside of China totaled only 64.6 MMT.  This is down month-on-month by 2.9 MMT (-4%) and down year-on-year by 9.4 MMT (-13%).  China remains one of only a few major steel producing nations to be experiencing growth in production (India, too, continues to experience growth).

The weakness outside of China continues to come as no surprise and the year-on-year contraction has managed to intensify even further.   The 13% year-on-year contraction seen last month has marked the largest contraction since July 2020.  Global crude steel production outside of China has now contracted on a year-on-year basis for nine straight months.  Production has stayed particularly weak in the European Union and Japan.  EU steel production contracted on a year-on-year basis last month by 19%.  Japanese steel production contracted by 10%.