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The report provides insights on the following:
The market for stainless steel is forecasted to increase from 42.6 MMT(million metric tons) in 2018 to 47.2 MMT in 2021 at a CAGR of 3 percent. The increase in urbanization and modernization globally are the main reasons for this growth. Moreover, the growth in the automotive industry along with the growing demand for energy and water will likely maintain the demand for stainless steel in the near future. The key driver of the stainless steel industry is the increasing demand from downstream industries such as agriculture, processing industry, consumer products, and construction industry.
The report includes an analysis of the cost structure in the stainless steel market, wherein the major expense is caused due to raw materials and electricity, which accounts for nearly 65-85 percent of the entire cost. The report further covers the price trend and forecast across different regions such as the U.S., Europe, and Asia. The risk analysis mentioned in the report gives a detailed analysis of the various risks associated with the stainless steel market ranging from fluctuations in supplier pricing, overpaying, etc.
Beroe gathers intelligence through primary sources that include industry experts, researchers, and consultants, as well as current suppliers, producers and distributors. Secondary sources can include business journals, newsletters, magazines, market research data, company sources, and industry associations. Following data collation, analysis, and strategic review, the Final Research Report is published on Beroe LiVE.
Category Intelligence on Stainless Steel covers the following
Increasing demand from downstream industries, such as agriculture, processing industry, consumer products, construction industry, is expected to be the primary driver of stainless steel industry
Increased focus on reducing the total ownership cost of stainless steel-making process has led to the adoption of newer technologies and the use of more energy-efficient fabrication and manufacturing processes
Development of newer technologies is driven by the need to attain lower cycle times in the manufacturing process. Suppliers in emerging economies are rapidly adopting technologies to improve efficiency and increase the production capacities
For the past 12–18 months, steel suppliers are experiencing lower margins, due to the falling prices. Suppliers are also susceptible to commodity price fluctuations, against which they cannot hedge, due to relatively smaller period of contracts
Steel and its products have high logistics costs. The Baltic Dry Index acts as an indicator of measuring logistic costs of dry bulk category, such as steel. Increased logistics cost impacts the import of raw material and increases the domestic and landing cost of steel
The steel industry has been facing a shortage of graphite electrode, owing to paucity of needle coke in China. This is due to stringent measures adopted by the authorities, in order to curtail pollution levels. Around 226,000 tons of electrodes are consumed every year in the EU. More than 60% of the smaller LF-type rods come from China. Consequently, both primary and secondary steel production could be adversely affected in Europe
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COVID-19: Assess impact on your suppliers and ensure business continuity with Beroe’s WIRE
(World Instant Risk Exposure)