2007 was a positive year for the steel industry. Apparent growth on a global level was 6.8%, reaching 1.2 billion t of steel products. It was the sixth year of consecutive growth within virtually all markets, with the relevant exception of the US. As for production, IISI estimates indicate a total 1.29 billion t of crude steel, over 7.5% up from 2006.

On a domestic level, this was a record-breaking year, both for production and for consumption. Crude steel output is estimated by IBS at approximately 34 Mt (+ 9.9%), while domestic sales grew over 18%, reaching 20.6 Mt of finished and semi-finished products.

The increase in domestic demand was observed in nearly all large consuming sectors, specially capital goods (+ 30.7%), civil construction (+16.2%), automotive (+17.8%) and commercial utilities (+16.7%). Domestic consumption presented a growth of 19.7%, totaling 22.2 Mt of products, with 13.4Mt of flat products (+20.5%) and 8.8Mt of long products (+18.5%).

Despite the high growth rates, way above those observed over the past years, steel companies have shown to be fully able to meet market needs. For such, they had to adjust their exportation volume, which totaled 10.5Mt, down 15.6% from 2006. Exportation revenues of US$ 6.8 billion, however, were only 1.4% below the previous year due to favorable international prices. The steel industry maintained its position among the leading generators of the country's trade balance.

All steel companies maintained investment programs active throughout 2007, not only those for expansion of production capacity but also those aimed at improving the product mix. The two largest expansion projects which started production late in the year added 4.0 Mt of crude steel to the sector's total output capacity, now at 41.0 Mt/year.

IBS publishes updated Statistics on the steel market monthly. Market data (production, domestic and international sales, world's largest producers, etc.) collected by IBS staff is available online and in several publications.

New Markets:

In a society increasingly concerned about sustainability, steel is seen as the ideal raw material. Its high recycling potential lures architects interested in offering their clients the best cost / benefit relationship during construction, associated to environmental concern.

The Brazilian Center for Steel Construction (CBCA) was founded with IBS's support to foster this market, contributing for a future based on social responsibility and environmental concern.