After two months of growth, in October the apparent consumption of cold rolled coils (CRC) in Mexico returned to negative territory with a decrease of 0.6 percent, year-over-year, to 350,000 metric tons (mt). Production recorded its tenth consecutive drop, according to data from the Mexican Chamber of the Iron and Steel Industry (Canacero) reviewed by SteelOrbis.
So far this year, until October, CRC consumption in Mexico has fallen seven times and only three increases: June (8.4 percent), August (12.8 percent) and September (15.8 percent). From January to March the drop in consumption was in the low double digits.
In October, CRC consumption lost third place as the most consumed finished steel product in Mexico and was displaced to fourth position by rebar, which was in third position.
Production recorded its tenth consecutive annual decline. In October it decreased 59,000 mt or 20.8 percent, year-over-year, to 225,000 mt.
In the international market, CRC trade flow increased 30.6 percent or 33,000 mt to 141,000 mt. Imports increased 51.1 percent or 45,000 mt to 133,000 mt. In contrast, Mexican CRC exports to the world plummeted 60.0 percent, going from 20,000 mt in October of last year to 8,000 mt in the same month of the current year.
In the accumulated months until October, CRC consumption decreased 2.7 percent or 98,000 mt to 3.47 million mt and production decreased 14.4 percent or 405,000 mt, compared to the January-October 2022 period, to 2.40 million mt.
The accumulated trade flow increased 1.6 percent or 21,000 mt to 1.31 million mt. Imports increased 16.0 percent or 164,000 mt to 1.19 million mt. Exports decreased 54.2 percent to 121,000 mt.
According to Canacero data, in Mexico the only CRC producers are AHMSA (paralyzed due to insolvency), Ternium and Tyasa.