August 19, 2025 – Shanghai
The global steel market is navigating a complex landscape marked by supply-demand imbalances and heightened trade tensions, according to recent industry reports and stakeholder insights. Key developments include:
1. China’s Export Surge Reshapes Global Dynamics
China’s steel exports, projected to reach 8.7 million metric tons monthly by 2024 , have flooded international markets, driving prices downward and intensifying competition for producers in regions like Turkey and the EU. For instance, Turkey has delayed scrap steel purchases due to cheaper Chinese semi-finished products, while EU markets face pressure from redirected trade flows amid U.S. tariff hikes .
“China’s dominance in exports is reminiscent of market conditions a decade ago,” warned Murat Cebecioglu, Chairman of the International Rebar Exporters and Producers Association (Irepas). “Unless China curbs production and boosts domestic demand—hampered by its struggling real estate sector—global oversupply risks deepening.”
2. U.S. Tariffs Spark Trade Reallocation
The U.S. has imposed 30% tariffs on EU and Mexican steel imports effective August 1, 2025, with broader 50% tariffs targeting Canadian and Brazilian steel . These measures aim to protect domestic producers but risk diverting 27 million metric tons of steel toward the EU, which already faces 30% import penetration and depressed demand .
“The EU must act swiftly to implement its Steel and Metals Action Plan,” stressed Axel Eggert, Director General of Eurofer. “Without safeguards, European steelmakers could face irreversible damage.”
3. Sustainability and Innovation Drive Industry Transformation
Amid challenges, companies are accelerating low-carbon initiatives. Examples include:
SSAB’s Partnership with Volvo: The Swedish firm will supply recycled and near-zero emissions steel for Volvo’s 2025 production, aligning with automotive sector decarbonization goals .
Thyssenkrupp and BlueScope Collaboration: A joint venture aims to scale electric smelter technology, processing 2.5 million metric tons of direct reduced iron (DRI) annually while recycling slag for cement production .
AISI’s Environmental Guidelines: The American Iron and Steel Institute released updated Product Category Rules (PCR) to standardize Environmental Product Declarations (EPDs), reinforcing U.S. leadership in clean steel production .
4. Strategic Moves and Market Adjustments
High-profile transactions reflect shifting industry priorities:
Nippon Steel’s Acquisition of U.S. Steel: The $14.9 billion deal, approved by the U.S. government, ensures U.S. Steel retains its Pittsburgh headquarters and iconic brand while leveraging Japanese technological expertise .
ArcelorMittal’s Restructuring: The closure of its Hamilton wire drawing mill in Canada underscores consolidation efforts amid cost pressures and demand shifts .
5. Upcoming Industry Event: China International Steel Week
The 14th China International Steel Congress (August 6–10, 2025) in Shanghai will convene over 4,000 delegates to address green transformation, smart manufacturing, and global market trends. Organizers highlight hydrogen metallurgy and electric-arc-furnace innovations as key focus areas .
Looking Ahead
With global steelmaking capacity projected to rise 6.7% by 2027 , stakeholders emphasize the need for collaborative solutions. “Balancing production cuts with demand stimulation is critical,” noted Jens Björkman, Chairman of Irepas’ Raw Material Suppliers Committee. “Protectionist measures alone won’t resolve structural imbalances.”
Media Contact:
Your Name：alvin zhu
Company Name：Evergrowing Resources Co. Ltd.
E-mail：alvin.zhu@evergrowrs.com
Key Themes: Global trade tensions, sustainability transitions, strategic partnerships, policy impacts.
Keywords: Steel exports, tariffs, low-carbon steel, hydrogen metallurgy, industry consolidation.
E-mail:alvin.zhu@evergrowrs.com