CATEGORY

Carbon Steel

Steel is an alloy comprising of predominantly iron and carbon. Due to its high tensile strength and low cost, it is a major component used in buildings, machines, appliances,infrastructure, tools, ships, automobiles etc.

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CATEGORY ALERTS

JSW continues expansion plans amid duty ?short-term headwind?

July 05, 2022
alert level: Medium
CATEGORY ALERTS

Ukraine Steel Production at 15% pre-war capacity

October 03, 2022
alert level: High
CATEGORY ALERTS

China's Hebei steel PMI down in September 2022

October 13, 2022
alert level: High

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Carbon Steel Market Monitoring Dashboard


Price Trend
1851.91
Feb-2023
USD/MT
History Forecast
Supply Demand

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Carbon Steel Industry Benchmarks


Savings Achieved

(in %)

The average annual savings achieved in Carbon Steel category is 4.80%

Payment Terms

(in days)

The industry average payment terms in Carbon Steel category for the current quarter is 48.8 days

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    Carbon Steel Suppliers


    33,433
    Total Suppliers
    746
    Diverse Suppliers
    77
    Normalized Supplier Rating
    Carbon Steel Supplier

    Find the right-fit carbon steel supplier for your specific business needs and filter by location, industry, category, revenue, certifications, and more on Beroe LiVE.Ai™.

    Sample Supplier
    Company
    ALCOA CORPORATION
    Location
    Jackson, Mississipi
    Duns number
    3862211

    D&B SER Rating

    dnb logo

    Up to 3 months

    1 9
    4
    Low Risk High Risk

    The Supplier Evaluation Risk (SER) Rating is Dun & Bradstreet’s proprietary scoring system used to assess the probability that a business will seek relief from creditors or cease operations within the next 12 months. SER ratings range from 1 to 9, with 9 indicating the highest risk of failure. We’ve prepared an infographic to help business owners better understand what influences their SER Rating.

    Moody`s ESG Solution
    ESG Profile

    Company and Sector Performance
    59

    100
    Robust (1)
    ESG Perfomance (/100)
    Environment
    53
    Social
    57
    Governance
    71
    6 Domains Performance (/100)
    Business behaviour
    59
    Human rights
    56
    Community Environment
    67
    Corporate governance
    77
    Human resources
    53
    Security Scorecard
    85

    Threat indicators
    B
    87
    Network Security
    Detecting insecure network settings
    A
    100
    Hacker Chatter
    Monitoring hacker sites for chatter about your company
    D
    66
    DNS Health
    Detecting DNS insecure configuration and vulnerabilities
    B
    81
    Application Security
    Detecting common website application vulnerbilities
    B
    84
    Endpoint Security
    Detecting unprotected enpoints or entry points of user tools, such as desktops, laptops mobile devices, and virtual desktops
    A
    100
    Cubic Score
    Proprietary algorithms checking for implementation of common security best practices
    B
    84
    Patching Cadence
    Out of date company assets which may contain vulnerabilities of risk
    A
    100
    Social Engineering
    Measuring company awareness to a social engineering or phising attack
    A
    97
    IP Reputation
    Detecting suspecious activity, such as malware or spam, within your company network
    A
    100
    Information Leak
    Potentially confidential company information which may have been inadvertently leaked

    Industry Comparison
    alcoa.com
    Industry average
    Adverse Media Appearances
    Environmental Issues
    1
    Workforce Health Safety Issues
    0
    Product Service Issues
    27
    Human Rights Issues
    0
    Production Supply Chain Issues
    2
    Environmental Non Compliance Flags
    30
    Corruption Issues
    0
    Regulatory Non Compliance Flags
    3
    Fraud Issues
    0
    Labor Health Safety Flags
    29
    Regulatory Issues
    3
    Workforce Disputes
    29
    Sanctions
    0
    esg energy transition
    50
    Discrimination Workforce Rights Issues
    0
    esg controversies critical severity
    Yes

    Carbon Steel market report transcript


    Carbon Steel Market Analysis and Global Outlook

    • Expected increase in downstream demand to 1,907 MMT by 2022 and the need for cost reduction are the key market drivers
    • Supply glut, volatile trade relations, and tariffs have adversely affected the steel market, resulting in cautious market growth

     

    Steel Market Overview - Global

    • Construction constitutes to around 36 percent of the steel end use. The decline in commodity prices, along with the surplus market condition in major regions, such North America and China, has adversely impacted the steel prices.
    • Despite the moderate cut down in production towards the end of the year in China, in light of environmental regulations especially during the winter heating season, ramp up in production across the globe, resulted in a growth in overall steel production in 2018

    Global Steel Drivers and Constraints

    Drivers

    Downstream Demand 

    • Increasing demand from downstream industries, such as construction, engineering, and manufacturing, will impact the steel market
    • Construction industry is expected to be the primary driver of steel industry

    Need for Cost Reduction 

    • Increased focus on reducing the total cost of ownership of steel making process has led to:

    −The adoption of new technologies

    −Use of more energy

    -efficient fabrication, manufacturing process

    Technological Advancements 

    • Development of new technologies is driven by the need to attain low cycle time in the manufacturing process
    • Suppliers in emerging economies are rapidly adopting technologies, in order to improve efficiency and increase production capacity

    Constraints

    Current Supply Glut 

    • Steel industry has been facing supply glut since 2014, mainly due to fall of demand from the largest consumer, China
    • China ‘s weak economic growth has impacted the global steel industry and subsequently, the carbon steel prices
    • The recent curtailment, globally, and lower production rates are expected to improve the conditions sooner

    Lower Profit Margins 

    • For the past 12–18 months, steel suppliers experience lower margins, due to falling prices
    • Suppliers are also susceptible to commodity price fluctuations, against which, they cannot hedge, due to relatively shorter contract period

    Supplier Landscape

    • The global crude steel market is moderately consolidated, with the major manufacturers such as ArcelorMittal, Hesteeel Group, NSSMC, POSCO, and Baosteel Group, accounting for a market share of around 28 percent. However, persistence of supply and consequent losses to steelmaker are expected to result in further consolidation of the global steel industry
    • The steel production market is expected to grow at a moderate 2-3 percent CAGR during the period 2018-2021. Despite the moderate cut down in production towards the end of the year in China, in light of environmental regulations especially during the winter season, ramp up in production across the globe, resulted in a growth in overall steel production in 2018
    • Asia has the largest share of global production accounting for nearly 49 percent of the total production. China’s crude steel production for April 2019 was 85.0 MT, an increase of 12.7 percent compared to April 2018

    Cost Driver Analysis

    The major price drivers of crude steel are raw materials such as iron ore, ferrous scrap, nickel along with utility cost, production and administrative overheads, logistic cost, and labor. A rise in prices of raw material, labor, and electricity will impact the cost of crude steel.

    Raw Material

    • Iron ore and ferrous scrap are the primary raw materials used in crude steel and is the major cost driver. However, for stainless steel, nickel with other alloys serves as the major cost driver
    • More than 60 percent of steelmaking cost is contributed by raw material, both in Blast Oxygen Furnace (BOF) and Electrical Arc Furnace (EAF) of the steel making processes

    Utility Cost

    • Based on the method of steel making, such as BOF and EAF, utility cost varies from 11 to 20 percent of the steel making cost

    Labor

    • Labor cost accounts for 8–10 percent of the total steelmaking cost. The cost is lower in China, when compared to the US and Europe

    Overheads (production & administration)

    • Overhead expenses include production and administration costs. Overhead cost is expected to account for ~2–5 percent of the overall cost of crude steel