EXPORTS SALES RISE
Steel giant ArcelorMittal sees slow local demand
The country’s largest steel producer warns rand volatility continued to affect its business
ArcelorMittal SA says domestic steel demand remains subdued, despite the government’s implementation of import duties on certain steel products and the designation of local steel for use in state infrastructure projects. The country’s largest steel producer said rand volatility continued to affect its business. The group is seeking to exit losses in recent years amid a crisis in SA’s steel sector due to cheap Chinese steel imports. But exports sales were slightly up in the period, despite falls in liquid steel production and a drop in domestic sales volumes. "Although having declined slightly from 2016 levels … imports are still high despite the 10% duties having been imposed," ArcelorMittal SA CEO Wim de Klerk said on Friday. The group said trading conditions in the domestic market were difficult. Domestic sales were 30,000 tonnes, or 3.4% lower, mainly due to weaker demand for long products. This was due to high stock levels at steel merchants and strong competition. Long product ...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.