Moody’s Investors Service has revised its outlook on the global steel industry to stable from negative on the back of pick-up in demand after the Covid-related lockdowns worldwide.
Though a virus resurgence is still a key risk for steel-makers, supporting industries have resumed production as different countries ease restrictions imposed to curb the spread of Covid-19.
“Demand for steel is improving on a resumption of production in important markets and on stronger global economic data, particularly in China,” said Carol Cowan, Senior Vice-President, Moody’s.
“We expect operating conditions for steel makers to continue to improve over the next 12-18 months, barring a resurgence of the coronavirus,” he added.
After pandemic-related shutdowns, production is now ramping up in the automotive and industrial sectors, said Cowan.
