Looking at the global steel industry in 2011, the Steel Committee of the Organization of Economic Cooperation and Development has stated that global steel demand has indicated a slowdown in growth during the year, while global steel production has been on a downward trend since its peak in May 2011.

OECD Steel Committee chairman Mr Risaburo Nezu stated that the slowdown in world steel production and demand growth has been caused by moderating industrial production, while construction sector growth has remained weak. World industrial production grew by around 6% YoY in the first three quarters of 2011, following a moderating trend in growth since mid 2010.

According to Mr Nezu, this slowing trend is occurring especially in advanced economies but also in emerging markets.

The OECD's global steel sector evaluation also emphasizes the growing role of China, India and other emerging economies in global demand for steelmaking raw materials such as iron ore.

Accordingly, there are sufficient worldwide reserves to satisfy future demand in spite of temporary scarcity. Many projects are being developed around the world to meet this demand, though many new iron ore mining projects are often either in difficult environments, which require substantial infrastructure development, or correspond to low quality deposits.

(Sourced from SteelOrbis)
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