The combined value of production of the “Basic iron and steel industry” and “Manufacture of iron and steel products” sectors in Mexico decreased 6.0 percent in December, year-over-year, the 18th consecutive annual decline, according to SteelOrbis analysis of data from the national statistics agency Inegi.
The value of production of the two industries in December was MXN 43.80 billion ($2.51 billion). This amount represents 67.1 percent of the total value of production of the Basic Metals Industry.
The value of production of the basic iron and steel industry, which includes steel complexes, registered an annual decrease of 18.3 percent, year-over-year, totaling the equivalent of $1.1 billion. It is the seventeenth consecutive annual decline. This industrial branch contributed 28.8 percent of the total value of production of the Basic Metals Industry.
Internally, the value of the production of the steel complexes was the equivalent of $739 million, 20.4 percent (variation measured in pesos) less compared to December 2022. It is also the seventeenth consecutive annual decrease. The complexes contributed 19.7 percent of the total production value of the Basic Metals Industry.
Separately, in December, the manufacturing of iron and steel products broke the negative trend of the last 17 months with a year-over-year increase of 6.0 percent, totaling the equivalent of $1.44 billion. This industry contributed 38.3 percent of the total value of production of the Basic Metals Industry.
In all of 2023, the joint production value of the two industries was the equivalent of $31.38 billion, 18.5 percent less (variation measured in pesos). The accumulated value of the basic iron and steel industry was the equivalent of $13.03 billion, a variation that in Mexican pesos represented a decrease of 25.3 percent. In the steel complexes it was $8.83 billion, 27.0 percent less.
The accumulated value of the manufacture of iron and steel products totaled the equivalent of $18.35 billion, a figure that in pesos represented an annual decrease of 12.8 percent compared to 2022.
According to Inegi, steel complexes include primary smelting of iron, steel, finished steel products such as tubes, hot rolled sheet coils (HRC), cold rolled sheet coils (CRC), steel structures, commercial profiles , wire rod, rods, among others.