Figures compiled by the World Steel Association showed that 135 million tonnes were produced during the month, a 0.5% year-on-year decrease.
Crude steel output in China, the world’s largest producer, was up by 0.5% year-on-year, but this was offset by falls in Germany, Russia, South Korea, Brazil and Spain.
The Chinese steel industry’s output is likely to climb further in May, as the rising prices of recent months has seen a number of previously closed mills resume production - despite the government’s intention to cut steel production over the next few years.
The World Steel Association recently warned that global demand for steel will fall by 0.8% in 2016, following the 3% drop in 2015, due largely to slowing economic activity in China, India, Brazil and Russia.
However, it predicted a 0.4% increase in demand for steel in 2017, with the EU, the rest of Europe and North America key drivers of demand.
Uncertainty about steel production levels highlights the importance to OEMs of having an established supply chain for all steel grades used in their manufacturing processes.
Contact Hillfoot to find out how our supply chain management services could deliver improved reliability and lower costs to your business.