EUROMETAL president and member of presidency at LCL Industry Seminar for Master cohort

Mr. Fernando Espada, chairman of EUROMETAL and Mr Julian Verden, member of the presidency of EUROMETAL participated in a webinar of Luxembourg Centre for Logistics and Supply Chains (LCL), an institute of the Faculty of Law, Economics & Finance of the University of Luxembourg on February 11, 2021.

The LCL Industry Seminar entitled “Comeback of Steel and Metals in 2021? / Logistics and Supply Chain Challenges” consisted of 4 panel participants coming from steel/metals business and was assisted by 3 dozens of master students.

The president of EUROMETAL spoke about the systemic role of SSC in steel supply chains explaining the point of view for customers and suppliers while Julian Verden, Managing Director of Stemcor Europe presented the value add to customers from management team perspective, logistics and inventory management and invoicing management & financing.

They were accompanied by Rafael López, CEO of Taiichio & Wolf Sl. in Valencia who explained the logistics and supply chain challenges in steel projects; Mr Alexander Siryk, CEO of Metals Consulting International (MCI) in Düsseldorf who highlighted that European steel market is gradually recovering in 2021 and how structure of the demand impacts the supply chain requirements seeking higher transparency and system integration even on a basic processes level;

Steel professionals highlighted some aspects mentioned below during the LCL Industry Seminar:

• Steel market is recovering; strong end use demand; positive 2021.
• The nature of the steel business will change in the coming years.
• Steel supply chains mean multi-modal breakbulk at different levels of the supply chain: Sea-born vessels supply iron ore and coal to steel mills. Steel mills supply their steel products to central stockist hubs, to steel service centres, key accounts, mostly by railways, sometimes by barges. Central steel hubs supply to One Stop Shopping hubs by full truck loads(TLs). Intermediating steel distribution delivers to end use segments either by full truck loads or by Less Than Truck Loads (LTLs) logistics.
• Steel supply chains to end use sectors differ: For construction sectors the steel supply chain is an easy one; for the automotive sector the steel supply chain is a complicated one.
• Due to these specificities, just-in-time concepts, close coordination and relation between all players is a must.
• In steel supply chains data flow is as important as material flow. In that respect the chances of digitalization are recognized by all participants in the supply chain.
• Lean steel supply chain management opens avenues to lower costs, to eliminate defects and waiting times, to reduce stocks in order to optimize working capital required to run steel supply chains.
• Customized supply chains are not only about logistics and product availability but also about anticipating customer needs, trust, technical knowhow, commercial expertise, quality control, financing backup, insurance, reliability.
• Decarbonization of the steel supply chain will be a major challenge in the present decade. Circular economy and ecosystem economy are gaining significant footprints in steel supply chains.
• Another major issue consists in the fact that global steel supply chains are facing challenges by protectionist walls rising around major economic blocks in world economy, berating free and fair multilateral trade principles

This webinar also counted with the support of Georges Kirps, independent consultant and former managing director of EUROMETAL. In addition to the selection of the panel of speakers, Georges contributed with preparation documentation for the master students as well as an introduction to the seminar.

The moderation of the webinar was in the hands of Carla Rosen-Vacher, LCL External Communications Officer.