Brazil's steel consumption expected to decline in 2023
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Update time : 2023-04-24 16:11:12
The Brazil Steel Institute (IABr) announced that Brazil's apparent steel consumption in 2023 is expected to decrease by 1% compared with 2022 to 23.2 million tons, and the previous forecast released at the end of last year was an increase of 1.5%. Meanwhile, Brazil's steel imports are expected to rise by 2.5% to 3.4 million tons.
IABr indicated that Brazil's two most important steel-consuming industries, civil construction, and mechanical equipment, are reducing activity, while the automotive industry will increase production. The three industries account for 82% of steel consumed in Brazil. Also, high-interest rates, a shortage of credit lines, and fears of rising inflation were also cited as factors.
Meanwhile, better performance is expected in 2024 as Brazil plans to reform its tax system, and interest rates should fall. Besides, the government is announcing new infrastructure works, and official housing plans are expected to be announced earlier.
