An Overview Steel and Construction Industry
The steel industry gets most of its revenue from the construction sector.
Most of the steel produced is used in the manufacturing of construction materials such as TMT bars.
According to Steel360, the year 2018 was quite eventful for the Iron & Steel Industry.
THE GLOBAL STEEL DEMAND
- After the contraction of -0.3% in 2015, the industry is said to have only seen growth and the year 2019 is predicted to bring positive results.
- The Short Range Outlook of the World Steel Association projected that global steel demand will reach 1,657.9 Million Tonnes (mnt) in 2018, an increase of 3.9% over the demand in 2017. For 2019, the association has forecast that global steel demand will grow by 1.4% reaching to 1,681.2 mnt.
Top 5 countries with the highest steel demand:
Highest Y-o-Y steel consumption growth for India:
The Indian Steel Industry is having a positive impact and is on a steady path to more growth. As forecasted by the World Steel Association, the year 2019 might see India overtake the United States in the demand for steel.
The Construction Industry, on the other hand, also is handling a stable growth. In a developing nation such as India, construction & real estate industries are getting more attention.
Anirban Basu, Chief Economist for the Associated Builders and Contractors (ABC).
Infrastructure investment was very strong in 2018, due in large measure to improved state and local government finances. Significant spending growth was observable in much of the nation in categories such as water systems, transit systems, highways, and flood control.
The construction market is predicted to increase in most developing nations.
This building materials industry is the second largest employer (after agriculture) in a developing nation like India.
Industry reports forecast that the bourgeoning Indian construction/building materials industry is expected to record a CAGR of 15.7% y-o-y to reach US$ 738.5 billion by 2022.
According to Invest India, the construction sector of India is the Second Largest FDI recipient sector for India in 2017.
India’s economy is sure to bloom in the coming years with prosperity & peace.