Trends and drivers moving the steel industry in the world

1. Steel Trends and Drivers in the world
April,2016

2. - 1 -
Table of Contents
1
2
3
Key Trends
Drivers
Key Transformation

3. - 2 -
Worldsteel forecasts that global steel demand will decrease by -1.7% to 1,513 Mt in 2015 following growth of 0.7% in 2014.
In 2016, it is forecast that world steel demand will show growth of 0.7% and will reach 1,523 Mt.
1. Trends in Steel Industry
Source : World Steel
Demand Forecasting for Finished steel (2016-17)1

4. - 3 -Source : World Steel
Top Steel Producing companies in the world (in
Tonnage)
Trends in Steel Industry
As the demand of steel increases ,pressure on some of the
top producers would increase
50%
16%
13%
11%
5%
3% 2%
Costruction
Mechanical
Machinery
Automotive
Metal Products
other transport
Electrical
equipment
Domestic
appliances
Consumption in varied sectors (2014-15)
As the demand increases, consumption will increase in
construction ,as it is directly related to the population
6.96
8.5
9.7
0
2
4
6
8
10
12
2011 2030E 2050E
World population (in billions)
As the Population increase ,demand for steel would
increase in the sectors like construction
98.09
49.30 47.09 43.35 41.43
0
20
40
60
80
100
120
Arcelor Nippon Hebei Bao POSCO
GDP outlook for Major Steel Making nations
2 3
4 5
Key Developed and growing Economies of the world ,which
are directly related to steel production

5. - 4 -
2. key drivers of globalization that are putting increasing pressure on the steel
sector
Source : EY

6. - 5 -
1.Rationalize excess capacity
3. Key transformation themes for the sector
To succeed and become more competitive in this dynamic environment, steel companies need to focus on four critical
themes
Source :EY
3. Embrace Digital
2. Increase Market and product Concentration
4. Increase market and product Competitiveness