CONTRIBUTOR:
Abdi Salad – Editor, Ferrous
EMEA, S&P Global Commodity
Insights.
FERROUS
85recyclinginternational.com | May/June | 2025
highest steel stock per capita and a
net scrap steel exporter, does not
have a shortage of scrap. However,
Kanno notes the key obstacle for
decarbonising Japan’s EAF fleet
remains access to cost competitive
and predictable zero-carbon, renew-
able electricity. The Japan Iron and
Steel Federation has set a target of
increasing domestic scrap circulation
by around 6.9 million tonnes by 2030.
LOWER RATES
A brighter note for the sector has
been a decline in shipping rates.
Xeneta reports that average spot rates
from Far East to North Europe were
around US$ 2 545 per FEU (40ft equiv-
alent container), the lowest level since
the end of 2023. Rates from the Far
East to the Mediterranean spot rates
have not declined as far but have
halved from a peak in July. Xeneta
says carriers sought to push up rates
for Far East to North Europe routes on
1 March they lasted only for a few
days. Meanwhile, Far East to US East
Coast and West Coast average spot
rates were down 41% and 48% since
the start of the year.
Peter Sand, Xeneta’s chief analyst,
thought carriers ‘got a little too bold’.
‘The short-lived uptick in spot rates at
the start of March suggests a weak-
ness in the market and demonstrates
the difficulties carriers will face in
capacity management during 2025.’
STEEL STATS
Crude steel output for the 69 countries
currently reporting to the World Steel
Association (worldsteel) in February
2025 was 144.7 million tonnes (Mt), a
3.4% decrease compared to February
2024. Of the top 10 producers, only
two reported an increase. The latest
data shows that China is estimated to
have had an output of 78.9 Mt in
February, down 3.3% on a year earlier.
India produced 12.7 Mt, up 6.3% while
Japan’s 6.4 Mt was down 8.5%. The
United States’ output was 6.0 Mt
(-7.0%); Russia is estimated at 5.8 Mt
(-3.4%); South Korea 5.2 Mt (+0.7%);
Türkiye 2.9 Mt (-5.6%); Brazil produced
2.7 Mt (-1.6%); Germany 2.7 Mt
(-13.5%); and Iran 1.7 Mt (-21.8%).
82-83-84-85_maferrous.indd 85 10-04-2025 14:42
