German crude steel production fell 8.4% on the year to about 36.8 million mt in 2022, the country’s steel association Wirtschaftsvereinigung or WV Stahl reported on Jan. 23.
The 2022 total marked the country’s lowest annual production since 2009, excluding the pandemic year of 2020, the group said.
In particular, the group sought to highlight the country’s crude steel output during the second half of the year, which fell 11% on the year to 17.3 million mt.
The monthly production total for December was reported at 2.6 million mt, down 14.6% from a year ago.
Similarly, December production of hot-rolled steel products was at 2.0 million m, down 15.7% on the year, while 2022 production was fell 7.8% to 32.1 million mt.
German steel producers have been forced to curtail production in recent months due to rising energy prices in the wake of Russia’s invasion of Ukraine.
On Oct. 21, Germany’s parliament voted to adopt a Eur 200 billion ($216 billion) relief package aimed at protecting households and industry from surging gas and electricity prices.
Since the relief package was introduced, mild winter temperatures have seen European gas prices fall to levels not seen since December 2021 amid healthy gas storage levels and demand reductions.
Platts, part of S&P Global Commodity Insights, assessed Dutch TTF front-month gas at Eur36.72/MWh Jan. 20, up 0.6% from the previous session. The TTF benchmark contract averaged Eur132.31/MWh in 2022 and Eur71.73/MWh in the second half of 2021, S&P Global data showed.
Platts assessed Northwest Europe hot-rolled coil at Eur755/mt ($821/mt) ex-works Ruhr on Jan. 20, up Eur15/mt on the day.
— Euan Sadden
