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Stainless steel: the pre-crisis production volumes will have to wait

Despite the fact that this year the global volume of smelting of stainless steel inspire even the most optimistic expectations for the final stabilization of the market, analysts say, it may take several years.

In addition to manufacturers in China, where the crisis has not had a significant negative impact on the development of the industry, the main operators of the market in 2009 have reduced the production of stainless steels. According to information provided by the ISSF (International Stainless Steel Forum), global production volumes of these products decreased by 26.7% (compared to pre-crisis level) and amounted to 10 848 thousand tons. However, most macro-regions have experienced a serious decline. For example, Russian steelmakers (according to data provided by specialists association Steels, compare the first half of 2008 and 2009, years), experienced reduced demand for stainless steel by 48.3%.

In the second half of this year, not stainless steel market trends leave no doubt that the situation in the industry stabilizes. In countries such as France, Belgium, Russia, Italy, Spain, Finland, Germany, Great Britain, Sweden and other countries, production increased by 17−80%. And while this dynamic gives us hope for a very speedy recovery of the sector, according to analysts of the company ArcelorMittal, the pre-crisis level (in terms of casting), the company will be released no earlier than 2014 year.

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