16 Steel Industry Groups Welcome Agreement to Continue International Work to Reduce Global Steel Overcapacity
Sixteen steel industry associations on five continents today praised the agreement by a “large majority of members of the Global Forum on Steel Excess Capacity (GFSEC)” to “continue the Forum’s work on the issue of steel excess capacity,” and called upon the few dissenting members to reconsider their current position as quickly as possible. Their comments were made at the conclusion of working group and ministerial meetings of the GFSEC in Tokyo last week.
“According to the latest OECD information, there are 440 million metric tons of steel excess capacity in the world today. This is an increase of 6.5 percent over last year,” the groups stated. “Governments of steelmaking economies worldwide must redouble their efforts to address this persistent global excess capacity in the steel sector, eliminating the support measures that cause it, and implementing strong rules and remedies that reduce excess capacity. We call on governments to continue the work on the issue of steel excess capacity without delay.”
“We appreciate the leadership of the Government of Japan in the past year to make meaningful progress in the Forum, and its conclusions as Chair. Recognizing the severe impacts that global steel overcapacity and market distorting policies in the steel sector around the world are continuing to have on our industry, we have urged the continuation of the work of the Forum to ensure its recommendations are turned into action. We are pleased that it is the will of a large majority of members to pursue meaningful efforts on the issue of steel excess capacity on the same basis as the work of the Forum over the past three years,” the group concluded.
The steel industry groups issuing the call for urgent action include representatives of: Steel Manufacturers Association (SMA), American Iron and Steel Institute (AISI), EUROFER (the European Steel Association), Canadian Steel Producers Association (CSPA), CANACERO (the Mexican Steel Association), Alacero (the Latin American Steel Association), Brazil Steel Institute, The Japan Iron and Steel Federation (JISF), European Steel Tube Association (ESTA), Specialty Steel Industry of North America (SSINA), South African Iron and Steel Institute (SAISI), The Cold Finished Steel Bar Institute (CFSBI), Indian Steel Association, Association of Enterprises UKRMETALURGPROM (Ukraine), Russian Steel Association and The Committee on Pipe and Tube Imports (CPTI).