Apparent consumption of hot rolled coils (HRC) in Mexico decreased 14.0 percent in May, year-over-year, to 369,000 metric tons (mt). With this drop, the positive trend of the last 12 months was broken, and it was also the lowest volume in the last 16 months, according to data from the Mexican Chamber of the Iron and Steel Industry (Canacero), reviewed by SteelOrbis.
May consumption contrasted with April data, which was 510,000 mt, a new maximum in at least the last 28 months.
In the last 17 months, HRC consumption in Mexico grew double digits 14 times. In June 2023, it registered the highest growth rate of the period with 44.6 percent.
With the contraction in consumption in May, hot rolled coil lost three positions and was ranked as the fourth most consumed finished steel product in Mexico. In the last 29 months, on 22 occasions it was the one with the highest consumption.
On the HRC production side, in May it decreased 8.0 percent to 264,000 mt. It is the lowest volume in the last 10 months and it is the first time in the last 10 months that less than 300,000 mt are manufactured per month.
In the January-May period, consumption increased 10.9 percent to 2.24 million mt. Production increased 6.4 percent to 1.62 million mt. Imports increased 21.0 percent to 692,000 mt and exports decreased 30.9 percent to 55,000 mt.
Industry data shows that HRC producers in Mexico are Altos Hornos de México (AHMSA, paralyzed by insolvency), Tyasa, Ternium and ArcelorMittal.