The global steel market is going through epochal changes with a slowdown in the Chinese economy. It’s official now — you can’t expect the Chinese economy to grow at the break-neck speed that it has been growing for decades. The impact of China' slowdown and weaker steel demand on global steel prices has been spectacular — prices have fallen off a cliff over the past one year. With steel demand peaking in China, Chinese steel vendors are exporting surplus steel worldwide. Steel producers across the U.S. and Europe are trying hard to cope with the Chinese onslaught, urging governments to impose anti-dumping duties on Chinese steel imports.
What does this mean for your business? How does it impact your steel sourcing strategy? In this white paper, experts from GEP provide price and demand forecasts, and outline region-wise steel procurement strategies to help you optimize your steel spend. Read today to understand the new dynamics of the global steel market and realign your steel procurement strategy.
The dynamics of steel sourcing have changed for steel procurement and category sourcing managers with the steep fall in steel prices, led by China’s slowdown and weak steel demand. Iron ore prices hit six-year lows in July 2015, further undermining global steel prices. Steel overcapacity in China and underused steel capacities elsewhere are causing a major glut in the global steel market. The anti-dumping duties imposed by steel importing nations against Chinese steel imports lead to several key questions: will domestic steel prices become competitive against Chinese imports? What’s the short and long-term outlook for global steel prices? What are the implications of a ban on Chinese imports? Read this must-read GEP white paper to inform and optimize your steel sourcing strategy.