Steel industry outlook

According to Zacks Equity Research, world steel demand is expected to increase 3.3% to 1,523 Mt driven by a further pickup in global steel demand with the developed economies increasingly contributing to growth. Even though risks within the developed world are expected to dwindle, there will remain some uncertainty in the developing countries due to unresolved structural issues, political instability and volatile financial markets.China's steel usage is expected to lose steam and grow 3% over the 2013 projections, as the government's efforts to rebalance the economy will hold back investment activities. India on the other hand will pick up pace and grow 5.6%, fueled by accelerated attempts to implement structural reforms. Japan’s recovery will be short lived as
steel demand is projected to dip 1.6% due to a new consumption tax, manufacturing production relocation from Japan and inflating energy prices.In 2014, steel use in the U.S. is projected to rise 3% fuelled by the improving global economy and the automotive, energy and residential construction sectors. Central and South America is expected to grow 5% in 2014. Brazil’s steel consumption is expected to grow 3.8% in 2014. However, Europe is expected to recover a modest 2.1% in 2014.NIKE SB