[Infostock Daily = Reporter Kim Jong Hyo] Domestic steel makers such as POSCO and Hyundai Steel face the biggest decline in demand since the global financial crisis in 2009.
According to a report titled 'The Impact of COVID-19 on the Steel Industry' published by the Korea Iron & Steel Association's Material Industry Human Resources Development Committee(ISC) on the 12th, global steel demand is expected to fall 6.4% year-on-year to 1,653.9 million tons this year. If such a forecast becomes a reality, it will surpass the decrease in 2009(-6.3%) when the global financial crisis intensified based on the extent of the decline.
ISC is predicting that demand for most countries except China will decrease by double digits. The U.S. is expected to see a drop in demand at -22.9%. Germany(-20%), Japan(-19.1%), India(-18%), Italy(-18%) and Korea(-12.7%) followed. China's demand was expected to increase by 1%, but considering the 8.5% increase last year, China is also not expected to be free from the shock of demand.
ISC predicted that demand will slowly recover from the second half of this year. This is similar to industry-wide expectations. POSCO Chairman Choi Jung-woo and other executives of major steel companies predict that the second quarter will be bottomed out on the premise that COVID-19 will no longer spread since last month.
Reporter Kim Jong Hyo firstname.lastname@example.org