Wasatch Steel 243 W 3300 S, Salt Lake City UT 84115 (801) 486-4463
THE GROWING DEMAND OF STEEL
The steelmaking industry is a key driver of the world economy. Other than employing more than two million people globally, it also supports millions of independent contractors and supporting productions. The steel industry is a source of employment for more than 50 million people in the construction, transport, and energy industries. The unique characteristics of steel make it a top choice for construction purposes. It is the main material used to deliver renewable sources of energy, including solar, tidal, and wind power. Its unique combination of versatility, strength, and formability is one of the reasons for the continuous increase in demand and production. Increase in Demand One of the biggest challenges faced by the industry is the fact that demand is constantly growing and shows no sign of stopping. According to the World Steel Organization, the demand will grow even further this year. Further economic improvements locally and internationally also change how steelmakers must prepare for the production of this versatile material. Impact on US Steelmakers The growing demand in the United States come primarily from the energy sector, automotive industry, and resilient construction recovery. This is a positive sign for American steelmakers and the country’s economy. The increase in steel demand will support many companies and employ plenty of people.
The Outlook on Demand The global demand for steel will follow the continuous economic growth recovery in the country and around the world. The World Steel Organization has a positive outlook for growth in the United States, the EU, Russia, and Brazil. The demand for the material will also continue to stimulate if urbanization projects continue to increase, along with strong economic growth. This will also cause major improvements in the construction of consumer products like appliances and vehicles. Steel demand is expected to improve mainly because of the growing energy investments and automotive production. The challenge is to produce quality and the right type of steel to meet the new demand. This also calls for greater attention on proper manufacturing processes or steel production in the right locations.
RESOURCES: http://www.wasatchsteel.com http://seekingalpha.com/article/1365631-economic-growth-and-steel-demand-impactthe-worlds-steelmakers http://www.worldsteel.org/media-centre/press-releases/2015/Steel-is-an-integralpart-of-the-global-circular-economy.html