European steel production in 2025 will be at an all-time low, according to a new report by the European Steel Association (EUROFER) published on Monday 16 March.
While the European steel market is showing signs of growth, “the sector’s outlook is clouded by imports having gained a record share of the EU market, falling European production, volatile energy prices and rising trade tensions”.
Persistently weak demand has forced the European steel industry to cut production and restructure capacity. EU crude steel production has thus reached an all-time low, at around 125.8 million tonnes in 2025, compared with 130 million tonnes in 2024.
It is true that demand for steel in the EU is set to rise by 2.4% in 2025 and 1.3% in 2026, but “the increase largely reflects a comparison with exceptionally low demand in previous years, rather than a demand-driven recovery”.
European steel consumption will therefore remain well below pre-Covid-19 levels.
Imports of steel, including semi-finished products, rose by 14% in 2025, while imports of finished products increased by 9%, taking the share of imports in EU steel consumption to a record 29% in the third quarter of 2025.
As a result, the EU’s steel trade balance has deteriorated sharply, with the trade deficit widening to around 2 million tonnes per month.
The Iranian crisis and global energy shocks are also increasing the pressure on competitiveness.
Link to the document: https://aeur.eu/f/l6z (Original version in French by Solenn Paulic)