CISA predicts steel consumption in 2020 up by 2% YOY

China Iron & Steel Association (CISA) recently released a forecast of China's steel consumption in 2019-2020.

CISA said that the market demand from the steel industry in 2019 is good, mainly due to the stable operation of downstream industries such as infrastructure and real estate, but the development of different industries is not the same. CISA estimates that steel consumption in 2019 will be about 880 million tons, up by 6% YOY.

CISA predicts that the performance of major downstream steel industries will continue to differentiate in 2020. Among them, infrastructure investment will increase, while real estate industry investment and new construction may slow down.Asian Metal Copyright The home appliance industry maintains steady growth, while some sub-sectors in the automotive, shipping, container, and machinery industries may experience negative growth.Asian Metal Copyright The home appliance industry maintains steady growth, while some sub-sectors in the automotive, shipping, container, and machinery industries may experience negative growth.Asian Metal Copyright CISA estimates that steel consumption in 2019 will be about 880 million tons, up by 6% YOY.Asian Metal Copyright However, in general, the demand for steel is expected to increase slightly to 890 million tons, up by 2% YOY.

Forecast of steel consumption in the downstream industry in 2019-2020 (Unit: kt)

Industry	2019	YOY	2020	YOY
Building	48600	8%	49800	2%
Machinery	14500	3%	14800	2%
Automobile	5200	-5%	5100	-2%
Shipping	1600	3%	1500	-6%
Home appliances	1360	5%	1400	3%
Railway	550	6%	570	4%
container	520	-28%	510	-2%
Energy	4000	5%	4100	3%
Others	11200	4%	11400	2%
Total	87530	6%	88980	2%

.Asian Metal Copyright CISA predicts that the performance of major downstream steel industries will continue to differentiate in 2020Asian Metal Copyright