“A gloomier outlook for the steel market for the rest of 2022 is consolidating and will most likely have spillover effects also on 2023,” said EUROFER director general Axel Eggert.

“We have been facing skyrocketing energy prices and bottlenecks in supply chains for almost a year now, and the dire consequences of Russia’s invasion of Ukraine for half a year. Yet, there is no sign that uncertainty will ease any time soon, while steel imports in the EU are still significant: this is detrimental for a healthy EU steel industry,” he added. 

The association said it believes steel consumption will decline 1.7% from 2021, while steel demand “remains subject to high uncertainty fueled by the ongoing energy crisis, inflation, supply chain disruptions and Russia’s war in Ukraine.” 

“Import penetration has remained considerably high,” it added.