World Steel Recycling in Figures: January-December 2021 update

World Steel Recycling in Figures: January-December 2021 update

Global crude steel production totalled 1.952 billion tonnes in 2021, up 3.8% from the previous year. According to worldsteel, global oxygen furnace production was almost unchanged on 1.381 billion tonnes whereas the electric furnace total jumped 14.4% to 563 million tonnes. There were also increases in the global production of both blast furnace iron (+1.2% to 1.346 billion tonnes) and DRI (+9.9% to 114.5 million tonnes).

Data show a decrease in China’s crude steel production last year (-3% to 1.033 billion tonnes), thereby reducing the country’s share of global production from 56.6% in 2020 to 53% in 2021. In contrast, increased crude steel production was registered in 2021 by the EU-27 (+15.4% to 152.575 million tonnes), Japan (+15.8% to 96.334 million tonnes), the USA (+18% to 85.791 million tonnes), Russia (+5% to 76.894 million tonnes), the Republic of Korea (+5% to 70.418 million tonnes) and Turkey (+12.7% to 40.360 million tonnes).

Higher steel scrap usage in most countries and regions

According to our statistics, steel scrap consumption in China was 2.8% lower last year at 226.21 million tonnes, although the country remained the world’s largest user. The proportion of scrap used in China’s steel production was 21.9% in 2021 owing to an 11.5% increase in scrap-intensive electric furnace production.

Conversely, there were increases in steel scrap consumption last year in the EU-27, the USA, Turkey, Japan, Russia and the Republic of Korea.

The EU-27 recorded 16.7% growth in steel scrap consumption to 87.853 million tonnes in 2021, alongside the 15.4% increase in its crude steel production. The proportion of steel scrap used in the EU-27’s crude steel production increased to 57.6% in 2021.

The USA recorded crude steel production growth of 18% last year and an increase in steel scrap usage of 18.3% to 59.4 million tonnes. The proportion of steel scrap used in US crude steel production improved to 69.2%.

Steel scrap usage increased in Turkey last year (+15.7% to 34.813 million tonnes) while its crude steel production was 12.7% higher. The proportion of steel scrap used in its crude steel production increased to 86.1%.

Our 2021 statistics reveal an increase in Japan’s steel scrap usage (+19% to 34.727 million tonnes) compared to a crude steel production gain of 15.8%.

The 5% growth in Russia’s crude steel production last year was exceeded by the increase in the nation’s steel scrap usage (+7% to 32.138 million tonnes). The proportion of steel scrap used in Russia’s crude steel production climbed to 41.7% in 2021.

The Republic of Korea recorded an increase in steel scrap usage last year of 9.5% to 28.296 million tonnes whereas its crude steel production climbed only 5%. The proportion of steel scrap used in the Republic of Korea’s crude steel production increased to 40.1%.

It is important to note that the steel scrap usage figures in this Ferrous Mirror represent verified data for 79.7% of global steelmaking in 2021.

Turkey increases overseas steel scrap purchases by 11.4%

Last year brought an 11.4% year-on-year increase in Turkey’s overseas steel scrap purchases to 24.992 million tonnes, thus confirming the country as the world’s foremost steel scrap importer. Its main suppliers were the USA (-13.7% to 3.768 million tonnes), the Netherlands (+1.9% to 3.214 million tonnes), the UK (+1.4% to 2.337 million tonnes) and Russia (-13.6% to 2.031 million tonnes).

The EU-27 took over as the world’s second-largest steel scrap importer in 2021 (+31.1% to 5.367 million tonnes), with the region’s main suppliers being the UK (+26.8% to 1.633 million tonnes), Switzerland (+1.9% to 0.796 million tonnes) and the USA (+107.1% to 0.551 million tonnes).

The world’s third-largest steel scrap importer last year was the USA (+17.1% to 5.262 million tonnes); its main suppliers were Canada (+18.2% to 3.757 million tonnes), Mexico (+12.9% to 0.562 million tonnes) and the UK (+92.5% to 0.308 million tonnes).

Also higher last year were steel scrap imports into the Republic of Korea (+8.9% to 4.789 million tonnes), Thailand (+18% to 1.653 million tonnes), Malaysia (+9.8% to 1.533 million tonnes) and Indonesia (+3% to 1.462 million tonnes). Conversely, import declines were recorded by India (-4.6% to 5.133 million tonnes), Pakistan (-8.4% to 4.156 million tonnes), Belarus (-14.7% to 1.136 million tonnes) and Canada (-21% to 0.815 million tonnes).

EU-27 overseas steel scrap shipments climb by 11.5%

Global external steel scrap trade - including internal EU-27 trade - amounted to 109.6 million tonnes last year (+9.7% compared to 2020).

The EU-27 was the world’s leading steel scrap exporter last year in growing its outbound shipments by 11.5% to 19.460 million tonnes, the main buyer being Turkey on 13.110 million tonnes (+11.3% year on year). The EU-27 also increased its overseas shipments to Egypt (+68.4% to 1.817 million tonnes), Switzerland (+16.4% to 0.561 million tonnes) and Moldova (+37.8% to 0.346 million tonnes).

In contrast, a drop was recorded in EU-27 deliveries to Pakistan (-13.1% to 0.804 million tonnes), the USA (-3.8% to 0.604 million tonnes) and India (-22.4% to 0.535 million tonnes). The largest EU-27 steel scrap exporter in 2021 was the Netherlands, with its total shipments of 4.687 million tonnes representing a 17% increase over the previous year.

EU-27 internal steel scrap exports totalled 29.328 million tonnes in 2021 (+14.5% compared to 2020).

Last year also brought an increase in US overseas steel scrap shipments of 6.1% to 17.906 million tonnes; among the leading buyers to extend their purchases from the USA were Mexico (+51.4% to 3.142 million tonnes) and Vietnam (+44.9% to 1.435 million tonnes). In contrast, decreases in US deliveries were recorded by main customer Turkey (-14% to 3.466 million tonnes), Malaysia (-8.2% to 1.449 million tonnes), Taiwan (-10.8% to 1.423 million tonnes), Bangladesh (-0.9% to 1.356 million tonnes) and Canada (-7.3% to 0.840 million tonnes).

Last year, increases were recorded in steel scrap exports from the UK (+21.4% to 8.287 million tonnes), Canada (+7.8% to 4.863 million tonnes), Australia (+6.9% to 2.224 million tonnes) and Singapore (+35.4% to 0.685 million tonnes), whereas declines in overseas shipments were registered by Japan (-22.1% to 7.301 million tonnes) and Russia (-12.4% to 4.140 million tonnes).

Most of the world’s leading steel scrap exporters are major net steel scrap exporters: last year’s export surplus was, for example, 14.1 million tonnes for the EU-27 and 12.6 million tonnes for the USA.

For more information, please refer to the 13^th edition of World Steel Recycling in Figures, which features the important new subtitle “A Raw Material for Green Steelmaking”.

Last but not least, I would like to offer my special thanks to Daniela Entzian, the BIR Ferrous Division’s Deputy Statistics Advisor, for her excellent co-operation.