Germany’s total steel sales from stockpiles dropped 5.5% month on month in November as destocking from inventories continued by members of the German trade association BDS AG towards year end, according to data published by the group Friday.
Sales declined for all products in November, and so did inventories, indicating a continuing destocking period with less sales given the time of year.
Long products sales saw the strongest sales drop, by 7.7% month on month to 277,416 mt, followed by flat products by 5.1% to 506,524 mt. Other products sales declined by 1,011 mt to 99,365 mt.
Total inventory balances declined by 83,412 mt to 2,132,743 mt, down 3.8%. Compared with November 2018, total inventory balances were 7.7% lower.
Flat steel stockpiles saw a stronger decline in inventories, by 4.5%, dropping by 60,244 mt month on month. They were 10.8% lower than November 2018, and the lowest in the past three years.
Long steel stockpiles declined to their lowest level since December 2018. Inventories fell by 18,027 mt, or 2.2% month on month. Compared to November 2018, long steel inventories were 2.9% lower.
For other products, inventories declined by 5,141 mt, or 10.2% month on month.
Lower sales from stockpiles and lower inventories are common in the month of November. In November 2018, sales from stockpiles and inventories also declined for all of the above products. December is normally a month where this destocking trend continues.
BDS members include ArcelorMittal Distribution, Jepsen Stahl GmbH and Klockner & Co Deutschland GmbH.
— Charlotte Bucchioni