“Government plans on infrastructure, construction & railways are expected to keep Indian steel demand boosted in the long run,” she explained, adding that among the country’s total steel demand, construction and infrastructure accounted for the dominant majority of 62%.
For 2019, the country’s finished steel output is expected to grow 3.5% on year to 102 million tonnes, among which flat steel production will grow faster at 5% to 52.3 million tonnes as against the 2% year-on-year growth in long steel.
India’s flat steel exports, similarly, is anticipated to rise at a faster rate of 9% on year to nearly 7 million tonnes “amid dull domestic demand & increase in inventories” against the lower 5% year-on-year growth in long steel exports mainly to Nepal and Myanmar, according to Mukerjee.
The country’s total semi-finished finished steel exports will probably grow slightly by 1.4% on year to about 9.9 million tonnes, as the country’s semi-finished steel exports will fall 19% on year to 1.94 million tonnes.
In 2020, India’s steel capacity is expected to increase by 8% on year to about 148 million tonnes/year in 2020 amid the robust domestic demand, among which, blast furnace capacity will contribute to 56% or 82.5 million t/y of the country’s total, according to her.
The Indian government set the guidance for the country’s crude steel capacity at 300 million t/y by 2030 though market sources remain divided with some thinking this “too ambitious”, Mysteel Global understands.
Written by Nancy Zheng, firstname.lastname@example.org
Edited by Hongmei Li, email@example.com