In 2015 there was an estimate of over 1.5 billion metric tonnes of crude steel produced. Much of this steel came from a variety of economically emerging countries. This trend could possibly be attributed to leaps in technological development and an overall rise in basic income levels across the globe. Many nations reported a massive increase in demand. Some recorded that they produced an excess of steel in some cases.
Unfortunately, excess steel is a global trend that is worrying experts. Too much steel means diminished prices and reductions in foreign demand. These types of changes can leave large swathes of workers jobless.
Many global powerhouses have called for a slowing down of steel production to help curb the trend and rescue the economies of emerging countries. Read below to find out which countries top our list of the world’s largest steel producers.
1. The People’s Republic of China
For the past twenty-five years, China has been gradually turning into one of the world’s premier super-powers. In 2016, China yet again demonstrated evidence of this fact when they produced an astounding 808 million metric tons of crude steel.
These numbers surpassed all previous expectations and have got several nations, from the United State of America to the Republic of India, worried about the potential run-on impact of this type of production.
The low price of steel coming out China has threatened several steel producers in countries across the globe. The industry has grown more 350% since 2009. South Korea, the Philippines and Vietnam are the largest purchasers of Chinese steel.
It also does not help that the majority of Chinese steel companies are owned and operated by state, which pushes a relentless agenda of capital growth.
It is expected that China will continue to lead the way in terms of steel production. Especially in relation to it’s geopolitical and commercial influence on South East Asia.
Japan has consistently been topping the charts in terms of steel production for a significant time. In 2015 Japan produced over 104 million metric tonnes of steel, and 110.6 million metric tonnes in 2014.
There is no clear consensus as to what has cause the slow in Japan’s steel production. However, stimulus packages are expected to help Japan recover.
Japan is potentially the largest producer of high quality steel in the world. Over 40.4 million metric tonnes of high quality steel were sold around the world in 2015. Yet again, South Korea, China and Thailand remain the greatest purchasers of Japanese steel.
3. The Republic of India
It is estimated that by 2020 The Republic of India is set to take Japan’s position as the second largest producer of crude steel in the world. In 2017 alone India produced over 101 million metric tonnes, up 11% from 2016 when they produced 95 million metric tonnes of crude steel.
The biggest buyers of Indian steel tend to be Nepal, Bangladesh and Belgium. India also hosts some of the largest steel companies in the world; such as TATA Steel Group, JSW Steel Limited and Steel Authority of India Ltd (SAIL).
4. The United States of America
The condition of the steel industry in the United States of America has led to some to question the future of American steel. In 2016 crude steel production dropped from 88.2 million metric tonnes to 78.6 metric tonnes.
The contributing factors to this decrease in production has been attributed to the growth of cheap foreign steel markets. The result has been shutting of operations and increased joblessness,
Of all the countries interested in curbing excess steel production across the globe, the United States of America is most invested. It is predicted however that steel production will return to normal over time.
The United States of America’s exports and mainly sent to bordering countries, such as Canada and Mexico.
5. The Russian Federation
Russian is certainly not a country to be underestimated. Steel production has risen and dropped sharply over the course of the last five years. In 2014 production spiked and then fell again, before 2017 when Russia reported 70.8 million metric tonnes of crude steel.
Russia happens to be the third largest exporter of steel in the world. The amount of exports has risen almost 22% since 2011. Russia exports their crude steel to a variety of countries, such as Turkey, Mexico and Taiwan.