Speaking during a panel discussion on metallics at AIST’s 2022 European Steel Forum, Nicole Voigt, a managing director and partner at Boston Consulting Group, said the increase is expected not only as more producers install electric arc furnaces (EAFs), but as basic oxygen furnace (BOF) producers increase their scrap usage. 

Hosted by Danieli, the forum is taking place this week in Buttrio, Udine, Italy. 

At the same time, she said global demand for direct reduced iron will increase by an additional 108 million metric tons as steelmakers shift to the direct reduced iron (DRI)-EAF production route. Panelists said supply is likely to be hindered by process requirements for high-grade iron ore. In the absence of it, iron ore producers will have to find ways to boost the iron content.  

She and other panelists agreed that as scrap supplies will tighten, steelmakers probably won’t be able to rely on imported scrap to satisfy their requirements as countries are likely to limit trade of it.  

“All countries will realize scrap is a very, very important raw material, so why export it?” asked Gerald Wimmer, vice president of converter steelmaking at Primetals Technologies, who also spoke on the panel.