In its near term outlook for global steel sector, the World Steel Association (WSA) has said that India’s steel consumption is expected to increase by 1.7% to 53.5 million tonne (MT) in 2009 against 52.6 MT in 2008. ‘India is projected to have a positive growth of (about) 2% for apparent steel use in 2009,’ said the WSA.
Although the association did not mention specific causes for optimism in the Indian market, experts believe demand from construction and automobile sectors will be the main drivers.
WSA has predicted a decline in global steel consumption from to 1,018.6 MT down 1,197 MT, representing a drop of 14.9% over the previous year. Demand is expected to stabilise in the latter part of 2009, leading to a minor recovery in 2010 according to the association.