Boston, MA -- (ReleaseWire) -- 04/15/2014 -- The outlook for Italy's metals sector is far from encouraging, as a combination of cheap Chinese imports, low domestic demand and few project expansions mean that growth in consumption and production will be sluggish over the period to 2018. However, we expect Italy to retain its position as the EU's second largest steelmaking country, with a 16% share of production and the status of a new producer.
2013 was not a good year for the industry in terms of output. According to the Italian steel producers association, Federacciai, the country's steel exports to non-EU countries declined by 6.4% to reach 5.35mn metric tons (mt) in 2013. The country's imports increased by 16.5% year-on-year (y-o-y) to 6.86mn mt in 2013. Flat steel product imports from non-EU countries and long steel product exports to non-EU countries is reportedly increased by 35.3% and 4.6% y-o-y, while flat steel product exports decreased by 12.1% y-o-y The industry will face increased competitiveness in core markets as it feels growing pressure from non-EU rivals and this could prompt consolidation and a move towards greater specialisation rather than a focus on volumes. One potential growth area we highlight for Italy's steel sector is in high-quality steel, which China is increasingly demanding. As yet, Chinese producers have focused on low-quality mass production of steel and thus Italian producers, which have experience in the high-end steel sector, could benefit.
View Full Report Details and Table of Contents
The EU is not taking the threat of increased competition lying down. In February 2014 the European Parliament passed a resolution backing a plan to revive the bloc's steel industry, calling on the European Commission and member states to adopt "economically feasible" climate and energy targets. The resolution came just two weeks after the Commission scaled down its 2030 climate and energy targets and underlines a new sense of pragmatism in Brussels at a when European growth is slow. In a move unlikely to be popular with the green lobby, the resolution said the most energy efficient steel plants in Europe should not have to bear any additional costs resulting from EU climate policies. It was not immediately clear how the resolution will tally with attempts by the Commission to prop up the EU carbon prices by delaying the sale of, or backloading, carbon permits - a major additional cost for industries like steel.
About Fast Market Research
Fast Market Research is a leading distributor of market research and business information. Representing the world's top research publishers and analysts, we provide quick and easy access to the best competitive intelligence available. Our unbiased, expert staff is always available to help you find the right research to fit your requirements and your budget. For more information about these or related research reports, please visit our website at http://www.fastmr.com or call us at 1.800.844.8156.
Browse all Materials research reports at Fast Market Research
You may also be interested in these related reports:
- Czech Republic Metals Report Q2 2014
- South Korea Metals Report Q2 2014
- South Africa Metals Report Q2 2014
- Australia Metals Report Q2 2014
- China Metals Report Q2 2014
- United States Metals Report Q2 2014
- Japan Metals Report Q2 2014
- Romania Metals Report Q2 2014
- Sweden Metals Report Q2 2014
- Netherlands Metals Report Q2 2014