Brief summary of steel market in 2020 and main trends for 202121.03.2021
The year 2020 became controversial for the steel market: a sharp drop in demand and prices at the beginning of the year due to the acute phase of COVID-19 was followed by the same rapid growth in the second half of the year. As a response to decrease in demand in the first half of 2020, steel producers significantly reduced its production volumes (up to 8% globally).
In the second half of 2020 manufacturers were taking a cautious approach to changes in consumption dynamics: steel output did not grow fast enough, which led to steel shortage in the market.
This deficit persists in Q1 2021, stimulating steel prices surges to a record high. Supply chains across Europe are stressed, while inventory levels of consumers and distributors are very low.
Despite challenging market conditions, ColorTec is committed to provide its regular customers with organic coated steel before the new construction season. As of April 2021, over 2,500 tons of GI substrate are expected to be delivered monthly from the leading Turkish and European suppliers.
Company’s priorities include customer orientation as well as maintaining the highest quality standards. We keep on focusing on the extension of the product range: it is scheduled to test new wooden pattern coatings and some new types of polymer coatings already in April 2021.