UK steel industry production improves on back of recovery
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Steel production in the UK in 2010 increased on a like-for-like basis by almost a quarter in 2010 on the back of a recovery in the global economy, according to new figures published today (21 September) by UK Steel, the body representing the sector.
UK Steel has taken over publication of the data for the sector from the ISSB (Iron and Steel Statistics Bureau) and will be issuing production data on a monthly basis.
After adjusting for the mothballing of Tata Steels' Teesside plant in February 2010, like-for-like output last year was 9.4 million tonnes compared with 7.5 million tonnes in 2009, an increase of 24.7%.
Latest data for monthly production shows December was 20.1% below that in November (148,000 tonnes per week compared to 186,000) on the back of stockholders running down inventories towards the year end.
Commenting, UK Steel Director, Ian Rodgers said: "The strong improvement in steel output during 2010 was encouraging, and reflects the pick up in manufacturing activity experienced both in the UK and in our principal European export markets. Nevertheless production remained well below pre-recession levels.
"The disappointing end to the year was largely due to steel supply chains running down stock levels in advance of the year-end. As a consequence, many steel companies introduced extended shutdowns and maintenance closures during the Christmas period.
"2011 has started positively, and we are hopeful that steel output levels will have recovered in January."
