Associations noted that uneven recovery of steel production in the world creates risks of destabilization of international steel markets and call for intensified efforts to overcome the growing crisis in the steel industry.
The Confederation of Steel Industry Associations in the Americas, Europe, Asia and Africa has called on governments to step up their efforts in the Global Forum on Steel Overcapacity (GFSEC) to better address the issue the steel crisis is growing.
Steel trade associations have expressed serious concerns about the recent increase in excess steel capacity, especially at a time when steel demand has bottomed out due to crisis associated with the Covid-19 pandemic. This contradicts the trend that has been continuing over the past three years, when excess capacity has been phased out.
Associations noted that uneven recovery in steel production around the world poses risks of destabilizing international steel markets.
Governments should develop stricter rules on industrial subsidies and other support measures that promote excess capacity. He also called for the maintenance of effective trade remedies to ensure a level playing field. He emphasized the need to increase transparency of work through the development of open communication and public awareness.
In addition, governments in the region should advise G-20 leaders that additional efforts are needed to curb overcapacity problems. Non-participating governments should renew their active participation in the efforts of the GFSEC.