Steel and Stainless Steel 2020 Foresight

After an unprecedented slump of revenues and prices in 2009, the steel industry is looking forward to 2010. Although the global crude steel output before the crisis (2007 level) will likely, mainly due to China, be reached in 2010, the crisis is not yet over in developed countries, where recovery is supposed to reach 2007 output level merely in 2013/2014.

The key challenge for European steel producers is to deal with the uncontrollable volatility of their raw material cost, driven by the Chinese demand and the oligopoly structure of mining companies.

How to transpose this volatility into the pricing mechanisms of steel customers without compromising their liquidity?

PwC shows a first way out of the crisis when European steel producers embrace a paradigm shift: producing not necessarily more but in a more responsible way! 

This means better risk management while measuring the business impact on the society at large: environment, social cohesion and ethical perception. Investors prefer knowing the financial risks when CSR standards are at stake. 

A new dialogue of the steel industry has started.
Let's discuss!