TCUD Secretary General Veysel Yayan said, “This year, it is aimed to reach the production level of 40.4 million tons reached in 2021 with current capacities.”
Turkiye’s crude steel production decreased by 4% compared to the previous year, reaching 33.7 million tons in 2023.
According to the information AA correspondent received from the Turkish Steel Producers Association (TCUD), the steel industry completed last year with a decrease in production and an increase in consumption.
Crude steel production decreased by 4% in 2023 compared to the previous year, falling to 33.7 million tons.
Final product consumption reached 3 million tons in December last year, with an increase of 5% compared to the same month of 2022, and increased by 17.1% throughout the year, reaching 38.1 million tons.
Turkiye’s foreign trade data
Exports of steel products increased by 32.6% on an annual basis in December to 1.1 million tons in terms of quantity and increased by 8% in terms of value to $798.9 million. For the whole of last year, compared to the previous year, exports amounted to 10.5 million tons, with a 30.6% decrease in quantity, and $8.3 billion, with a 40.7% decrease in value.
Imports of steel products, on the other hand, decreased by 15.3% in quantity to 1 million tons in December on an annual basis, and decreased by 21.6% in value to $895.3 million. In the whole of last year, compared to 2022, imports amounted to 17.1 million tons, an increase of 15.5% in amount, and a decrease of 6.1% in value, reaching $14.6 billion.
The foreign trade deficit in steel products increased from $1.6 billion in 2022 to $6.3 billion last year. The export-import coverage ratio decreased from 89.6% to 56.6% in the same period.
Dumping investigation was received positively
TCUD Secretary General Veysel Yayan told the AA correspondent that in the first half of last year, world steel production shrank by 1% due to the high level of energy prices, the weakening of consumption and investments, especially in the construction sector, and the stagnation in the real estate market in China.
Pointing out that in the second half of the year, there was a 1% recovery in world steel production due to the decrease in raw material prices, the decrease in fluctuations in energy prices, the increase in infrastructure investments made within the framework of sustainability and decarbonization, and China’s support for the steel industry. Thus, he stated that world steel production will remain stable at 1.8 billion tons in 2023.
Yayan reminded that after the dumping investigation was launched against the import of “hot rolled flat steel” originating from China, India, Japan and Russia on October 31, 2023, it was decided to apply temporary protection measures on wire rod imports, “This situation is considered an important step in terms of reducing imports of steel products and encouraging domestic production. It is considered that taking similar measures against imports of other state-supported and dumped steel products in the new year will contribute to the sustainability of the sector and support domestic production.”
Pointing out that the increasing trend in domestic demand will continue this year, Yayan said: “In 2024, it is aimed to reach the production level of 40.4 million tons reached in 2021 with current capacities, to increase our effectiveness in export markets by reducing the impact of geopolitical tensions and factors affecting world trade, and to leave behind the export level of 15.2 million tons in 2022.”
Yayan noted that the crisis in the Red Sea, recently increasing freight prices and geopolitical risks may negatively affect export markets, especially in regions where conflicts are intense, such as Yemen, and therefore efforts to increase the export share in developing alternative markets such as North Africa have gained importance.
Source: AA / Prepared by Irem Yildiz