BMI View: 2014 will see further contraction in Belgian steel production as steelmakers look to stem oversupply through reducing capacity at key facilities. Nevertheless, there are signs the contraction in output levels are tailing off as the market reaches a more balances supply-demand equilibrium while there is also potential for growth in demand for certain, niche products.
The Q3 2014 Belgium Metals Report assesses the health the country's metals sector, with a focus on the production of crude steel and related finished steel products. Our analysis assesses the outlook for the steel sector against the backdrop of weak Eurozone growth and sluggish demand and evaluates the strategies being employed by the country's steelmakers as they look to weather the storm.
While the overriding trend among local producers over the past few years has been to downsize production capacity, Q214 saw Belgium's largest steelmaker ArcelorMittal makes upgrades worth EUR18mn to its Industeel steel production facility in Charleroi.
The move follows growing concerns about the company, which has so far mothballed a number of local production facilities and whose flagship operations in Liege have been the subject of rumours of a government-backed takeover.
Pessimism surrounding future levels of demand across Europe has led to led to cut-backs being made by a number of the country's major steel producers including ArcelorMittal and Duferco. ArcellorMittal has pledged to keep its five core finishing lines open at Liege due to their ability to produce dedicated high quality products, which are still in demand within Europe. Meanwhile, the company has been looking for outside investment in the plant's additional facilities. Expected furnace closures by both companies mean that Belgium will not return to pre-crisis volumes of production even after a recovery in European demand. The BMI Q1 2014 report analyses the impact this will have on Belgian steel production as a whole.
The Belgium Metals Report has been researched at source, and features latest-available data for steel, aluminium and other major globally-traded commodities. Our analysis covers all primary indicators, including production, exports and price, with our forecasts underpinned by Business Monitor International (BMI)'s macroeconomists global economic outlook. The report analyses trends and prospects and critically evaluates latest industry news, trends and regulatory developments in Belgium.
BMI's Belgium Metals Report provides industry professionals and strategists, sector analysts, business investors, trade associations and regulatory bodies with independent forecasts and competitive intelligence on the metals industry in Belgium.
- Benchmark BMI's independent metals industry forecasts for Belgium to test other views - a key input for successful budgeting and strategic business planning in the Belgium metals market.
- Target business opportunities and risks in Belgium through our reviews of latest industry trends, regulatory changes and major projects and investments.
- Exploit the latest competitive intelligence and company profiles on your competitors and peers.
BMI Industry View
Summary of BMI's key forecasts and industry analysis, covering metals production and prices, plus analysis of landmark company developments and key changes in the regulatory environment.
SWOT (Strengths, Weaknesses, Opportunities and Threats) analysis of the state's metals sector, business environment, politics and economics, which carefully evaluates the short- and medium-term issues facing the industry.
Global Metals Market Overview
Global demand, supply and price forecasts for steel and aluminium, as well as gold, copper and tin, drawing on both our industry expertise and our macroeconomic and financial market team's long-term global demand forecasts and shorter-term market views.
Historic data series and forecasts to end-2018 for all key industry indicators (see list below) supported by explicit assumptions, plus analysis of key downside risks to the main forecast.
Production (`000 tonnes, US$bn), consumption (`000 tonnes, US$bn), exports (`000 tonnes, US$bn); prices (US$/tonne), and growth (%).
BMI forecasts to end-2018 for headline country macroeconomic indicators, including real GDP growth (%), GDP per capita (US$), population (mn), industrial production index (% y-o-y average) and unemployment (% of labour force).