Basson: "We don't need more capacity"
“We already have sufficient crude steelmaking capacity [globally] and, because re-use of steel will grow in the future, we don’t need to create more and more crude steel capacity,” Basson said in an interview late last month.
“This is the true [problem to be tackled over] the next 20 years, rather than whether excess capacity will grow or reduce,” he added.
Global excess steel capacity is estimated to reach around 650 million tpy in 2017, according to a study conducted by the Organization for Economic Cooperation & Development (OECD) in late September.
Scrap use in steelmaking totaled 387 million tonnes in January-September 2017, up by 15.18% year-on-year from 336 million tonnes in the corresponding period in 2016, according to Metal Bulletin Research (MBR) analysis, using data from Worldsteel.
Metal Bulletin’s average daily scrap index for Northern Europe-origin HMS 1&2 (80:20) scrap so...