Brazil’s Steel Production Falls 4%, But Export Revenues Grow 26%

The Brazilian ironworks industry should have 26.4% greater export revenues in 2005 than in 2004, according to estimates by the Brazilian Ironworks Institute (IBS, Instituto Brasileiro de Siderurgia).

The sector hopes to have revenues of US$ 6.7 billion with foreign sales up to the end of 2005. The volume of products shipped abroad should also grow, around 5%, and reach 12.6 million tons.

The greater growth in revenues than in export volume, according to the IBS, is due to the export of greater volumes of finished products, and lower exports of semi-finished products. Brazilian ironworks revenues on the foreign market should be record this year.

Next year the sector hopes to grow even more, to around 13 million tons. The world consumption should expand between 4% and 5%, pulled by China. The growth in consumption by the Chinese may rise as high as 10%. Revenues with foreign sales, however, should drop. The IBS believes there may be an international reduction in the price of steel.

"The behavior of foreign steel prices is a great worry to Brazilian ironworks due to the downwards tendency, caused largely by the behavior of China, which has gone from being a steel importer to a steel exporter," stated the president at the IBS, Luiz André Rico.

Brazilian ironworks production should drop 4.1% this year when compared to 2004, according to the IBS, and should reach 31.6 million tons.

Figures supplied by the institution show that there has been a reduction in consumption on the domestic market, mainly in civil construction. The president of the IBS, however, is optimistic with regard to 2006. He believes that production should grow 4.1%.

Agência Brasil

Tags:

  • Show Comments (0)

Your email address will not be published. Required fields are marked *

comment *

  • name *

  • email *

  • website *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Ads

You May Also Like

Brazil’s TAM Airlines Reelects Two Women as Chairman of the Board and Chairman

TAM S.A., Brazil’s largest airline company, reelected the members of its Board of Directors ...

Weak US Job Market Gives Boost to Brazilian Stocks

Brazilian and Latin American stocks climbed, as weaker-than-expected U.S. jobs data fueled hopes that ...

Elections in Quibocó

Mardoqueu is made out of fine French bread dough. White and lean like a ...

Mining Investments in Brazil to Reach US$ 47 Billion By 2013

The mining industry in Brazil should receive US$ 47 billion in investment in the ...

Americans March All Over U.S. in Support of Brazil’s Landless

On April 22, demonstrations at Brazilian consulates around the United States, spearheaded by a ...

Brazil Has 30 Years of Natural Gas Reserves

Brazil’s proven reserves of natural gas are 316 billion cubic meters, but it is ...

Brazil Opens Its Franchises to the US

The Brazil Pavilion will be one of the main highlights of the 14th IFE ...

Forecasts for Brazil: 2.5% Growth, 5% Inflation, Dollar at 2.25 Reais

The Brazilian financial market, in its first survey this year, confirmed most of the ...

Brazil Is Mad: ‘We Pay the Bills. Why the High Premium Abroad?’

The Brazilian Minister of Development, Industry, and Foreign Trade, Luiz Fernando Furlan, said that ...

Brazil’s Agribusiness Trade to Developing Countries Picks Up

Brazil has the chance of becoming one of the greatest agriculture products suppliers to ...