INSUBCONTINENT EXCLUSIVE:
tonnes.This is 5% higher than in May last year
From January to May, total production was 13.66 million tonnes, up just 0.7% compared to the same period in 2024.Sales inside Brazil also
In May, steelmakers sold 1.788 million tonnes, which is 3.8% more than a year ago.For the first five months of the year, sales reached 8.63
million tonnes, a 3.3% increase
This growth comes as construction and car manufacturing, two big users of steel, start to recover after a slow period.However, steel imports
Faces Tough Competition from ImportsImports now make up about a quarter of all steel used in Brazil
Most of this imported steel comes from China.This has caused concern among local steel producers, who say it is getting harder to
It now charges a 25% tax on 23 types of steel products if imports go above certain limits.These limits allow some steel to come in at lower
tax rates between 9% and 16%
Steel that comes in under special trade deals does not count toward these limits.The government says it wants to help local steelmakers but
also keep steel affordable for builders and manufacturers.Even with these new rules, industry leaders say imports are still too high
By January, importers had already used up most of the yearly limit.Blocked by U.S., China Floods Brazil With Steel-70% of Imports Now
Undercut Local MillsThe new system has not slowed down imports as much as hoped
Shares of big steel companies like CSN and Gerdau dropped after the government announced the new rules, showing that investors are
Last year, it produced 26.6 million tonnes, but it could make up to 51 million tonnes if demand was higher.The industry plans to invest $20
billion by 2028 to modernize factories and stay competitive.But the future is uncertain because of ongoing import pressure and doubts about
Rising imports are making it tough for local companies.The government is trying to help, but the results are not clear yet
