Steel News

According to the World Steel Association (WorldSteel), in 2023, global crude steel production reached 1,888 million tons, with Vietnam contributing 19 million tons to this figure. Despite a 5% decrease in crude steel production compared to 2022, Vietnam's notable achievement is an upward shift in its ranking, reaching 12th place globally among the 71 countries listed.Vietnam's crude steel production decreased by 5% but climbed one position in the rankingsIn 2023, Vietnam achieved a notable milestone as its crude steel production surpassed that of Taiwan, securing the 12th position in the global rankings. This highlights a positive outlook for steel demand in Vietnam, despite the ongoing incomplete recovery of the domestic real estate market. Additionally, leveraging political advantages, countries in the Middle East view Vietnam as a promising destination for steel imports. Experts emphasize that Vietnam's steel export volume in 2023 also benefited partly from the weakened export activities of competing nations such as China, India, and Turkey, creating opportunities to boost production capacity in the country.Vietnam ranks among the top 12 countries with the highest global crude steel production in 2023Predictions for 2024 anticipate a positive recovery in both demand and steel prices in Vietnam, with raw material prices forecasted to significantly decrease. This is expected to lead to a substantial increase in the Vietanm steel industry's profit margins. The primary driving force for domestic steel consumption comes from the expected strong recovery in the civil construction sector, while the industrial and infrastructure construction segments are projected to sustain growth throughout 2023.Regarding the export sector, the World Steel Association notes that the growth in infrastructure construction activities in the ASEAN, U.S., and EU markets, coupled with the benefits from bilateral agreements, will boost Vietnam's steel export activities this year. Therefore, it is expected that Vietnam's crude steel production in 2024 will experience a more robust increase compared to the current year, driven by both domestic and international market dynamics.China and India are the two largest steel producers globallyChina has once again maintained its position as the leading country in the global steel industry. In the past year, 2023, the country produced a staggering 1,019 million tons, sustaining its production at a stable level after two consecutive years of decline. According to analysts from S&P Global Commodity Insights, China's steel production is anticipated to decrease by 0.5% in 2024 as domestic plants seek solutions to address excess supply issues along with weak profit margins. This outcome is expected to lead to another prediction that China's iron ore imports will decline due to the slowing down of steel production.The statistical chart of raw steel-producing nations for the current year also reveals a remarkable surge in India's production, driven by robust domestic demand and infrastructure projects supported by the government's ongoing initiatives. In 2023, India recorded a noteworthy growth, with a production increase of 11.8% compared to the previous year, reaching an impressive 140.2 million tons. Notably, amidst the global decline in steel demand, India continues to maintain its position as one of the countries with the highest growth rates in crude steel production and stands out as one of the few nations showing positive growth trends.The monthly crude steel production figures for China and the world in 2023Crude steel production in Europe decline from weak demandOverall, crude steel production in Europe is reported to have decreased by 6.7% in 2023 compared to 2022. Among the 71 countries listed, the majority of nations in the European region witnessed negative growth. Specifically, Germany, recording its lowest crude steel production since 2009 with around 35.4 million tons in 2023, marked a 3.9% decrease from the previous year. Similarly, the second-largest steel producer in Europe, Italy, also exhibited a 2.5% reduction in production to 21.06 million tons.The simultaneous decline in steel production can be attributed to low consumption demand and high energy prices, presenting challenges for factories in the region. The steel industry in Europe is grappling with high production costs due to increased energy prices since the conflict between Russia and Ukraine, alongside an influx of cheaper imported products that impose limitations on local steel manufacturers.The production downturn is not limited to domestic output; steel exports to the EU also witnessed a 5.57% reduction in 2023 compared to the same period. However, the growth rate of steel exports to new markets, including Western Asia and Central Asia, experienced a substantial increase. The persistence of inflationary cycles and the strong impact of trade protectionism are considered the primary impediments to steel exports from other countries to this region. 

In recent years, Vietnam has promoted the use of clean energy sources in steel production in order to develop an eco-friendly economy. Therefore, the steel scrap has long been applied in production by many domestic manufacturers. The role and applications in the recycling process of scrap steel have brought positive effects to the environment, contributing an important position to the trend of sustainable development and production.The role of scrap steel in the trend of using renewable energyScrap steel is the term used to describe products that have reached the end of their life cycle and they are not usable for longer. The name "scrap" will make many people think that they are discarded items, in fact they are a valuable source of raw materials for the steel production process at factories.Scrap steel is considered an essential source in the trend of green production because they will not cause any pollution risks to the environment. Compared with the method of producing steel from iron ore, scrap steel plays a major role in reducing emissions from factories when 1 ton of scrap steel can reduce 1.5 tons of CO2, 1.4 tons of iron ore and 740 kg of coal.They come from a variety of sources, some from steel mills, where shipments are damaged or some failed products because they don't have any value to the transaction. Others can appear in the wreckage of used cars, old boats or from the structure of buildings.Process of recycling from scrap steelScrap steel is an iron containing metal with the rate of iron is 97% and thanks to this high percentage, many manufacturers have processed and melted them to create new types of steel products. The process of recycling steel often goes through many complicated stages to ensure the quality of the output steel products.Step 1: Collecting all types of scrapsThe first step in recycling steel from scrap is to collect all types of scrap and gather them at a certain location. Scrap sources are often present around people's daily life like an old table or chair, refrigerator, bicycle can also be considered a valuable source of  materials in steel production.Step 2: Conduct sorting scraps into specific groupsAfter gathering all the scraps in one place, the handler will use a magnet to draw iron and magnetic devices from the general mix. Scrap steel will be divided into 3 categories including metal scrap that is discarded at the factory or previous workshops, the type of scrap is waste generated in the steel production process, and final scrap comes from household items.Normally, scraps that have sources from factories can be directly put into the recycling process without having to go through any cleaning steps. Meanwhile, scrap steel from household items will be treated to remove other impurities to achieve the required cleanliness. The cleanliness must meet the criterias such as no dirt, non-ferrous metals, steel is not rust and excessive corrosion.Step 3: Crush and shred the scrapsIn order to make it more convenient for scrap smelting, the manufacturer will perform the crushing and shredding step with specialized machines including cutters, flatteners and crushers. The smaller the scraps, the faster the heating and melting process will be promoted.Step 4: Heat up scrapsBased on the properties of each type of scrap steel, the manufacturer will put them in different furnaces. The average temperature of a furnace can be up to 3000 degrees Celsius, this is the ideal temperature enough to evaporate the zinc and aluminum components contained in the previous steel.The furnaces are often equipped with a liquid stirrer to assist in maintaining the temperature in the heating process as well as controlling the consensus of the liquid. The heating process will take place for several hours depending on the amount of scrap steel poured in.Step 5: Filter the residueSedimentation is a necessary stage that helps to remove excess impurities present in the steel to ensure that the final steel product obtains high quality and does not appear to have any contaminants. Some common methods of filtration include using electrolysis to extract impurities from steel, another way to remove impurities from metal can be mentioned as running a magnet over a molten metal solution.Step 6: Carry out the solidification methodAfter the steel solution has been purified to remove excess substances, the manufacturer will now move them on conveyors to cool and solidify the metal. Also in this stage, steel will be formed into billet bars or flat steel.Finding the scrap steel collector for your recycling projectTheoretically, scrap steel brings positive aspects to businesses, in fact, scrap steel sources are considered to be rare. This scarcity comes from the average lifespan of a steel product is up to tens or even 100 years. This means that these sources are not always available at all times while the demand for steel is increasing day by day.In recent years, Vietnam has been the destination of millions of tons of scrap steel when the domestic market often buys and imports foreign scrap steel sources. In addition, China's policy about banning imported scrap steel has unintentionally caused scrap sources to rush into Vietnam more than ever. In the face of the scarcity of scrap steel in many places in the world, choosing reputable scrap steel collectors in Vietnam will be the right direction for your production projects.If you are in need of finding and purchasing scrap steel sources, MRS Steel is ready to be present and accompany you. We are not a small unit specializing in scrap collection but a business specializing in providing reputable steel solutions in the market, we are able to bring you quality scrap steel at an affordable price. Contact us immediately via Whatsapp:+84 76 911 2358 or email vanloc@mrssteel.com.vn for detailed advice.