Global steel demand is projected to rebound in 2026

World Steel Association: Moderate Recovery in Global Steel Demand Expected in 2026, Driven by India, Vietnam, Egypt, and Saudi Arabia

Key Data: Global steel demand is projected to grow by 1.3% in 2026, reaching approximately 1.772 billion tonnes. India, Vietnam, Egypt, and Saudi Arabia are the main growth drivers. India is planning to expand its stainless steel production capacity from 7 million tonnes to 11 million tonnes, and is urging the government to permanently remove import tariffs on scrap steel and ferroalloys.

VTV.vn - Global steel demand could resume its upward trend next year after slowing down this year, according to forecasts by the Worldsteel Association.

The latest report from the World Steel Association (Worldsteel) forecasts global steel demand in 2025 to remain stable at around 1.75 billion tonnes, similar to 2024, and is expected to increase by 1.3% to 1.77 billion tonnes in 2026. The optimistic outlook for the steel market is bolstered by the recovery of the global economy , investment in public infrastructure in most major economies worldwide, and anticipated easing of financial conditions, according to the Association's Short-Term Outlook report.

According to Worldsteel, growth in 2026 will also be driven by a combination of regional trends. While steel demand from China will slow, demand will grow strongly in developing economies such as India, Vietnam, Egypt, and Saudi Arabia. The report also notes that steel demand in Europe will rebound, alongside a projected 9% increase in demand between 2025 and 2026 in India (demand is expected to increase by nearly 75 million tonnes in 2026 compared to 2020), and relatively strong growth of 5.5% this year in Central and South America.

For the US market, Worldsteel forecasts steel demand to increase by 1.8% this year due to boosted production ahead of tariff increases and continued infrastructure spending. The market is also projected to grow by 1.8% in 2026, driven by pent-up demand in housing construction and private investment, as well as easing financial conditions and reduced uncertainty. The organization notes that further growth impetus could come from the rollout of economic stimulus packages, potentially boosting various sectors.

Meanwhile, Worlsteel estimates that over the past three years, African steel demand has grown at an average rate of 5.5% per year, particularly driven by strong activity in the northern and eastern regions of the continent. This new momentum is supported by improved macroeconomic and governance fundamentals and is projected to bring African steel demand to around 41 million tonnes by 2025.

However, Worldsteel also stated that the global manufacturing sector continues to face pressure from rising production costs and the ongoing challenges to consumer affordability. Furthermore, escalating trade tensions are having a direct negative impact on steel demand in economies heavily reliant on exports of steel-intensive goods, such as machinery and automotive components.

Source: https://vtv.vn/nhu-cau-thep-toan-cau-du-bao-tang-tro-lai-vao-nam-2026-100251016212239427.htm