In a stunning display of industrial might, Brazil's steel industry is charging forward with record production, surging exports, and a firm commitment to sustainable manufacturing, as evidenced by crude steel output hitting its highest quarterly level since 2015, export revenues reaching $12.5 billion in 2023, and the sector achieving an impressive 45% renewable energy usage.
Key Takeaways
- Brazil's crude steel production reached 36.1 million metric tons in 2022, a 4.7% increase from 2021 and accounting for 4.8% of global output.
- Brazil's steel slab production in 2023 totaled 16.8 million tons, up 2.1% year-over-year.
- In Q1 2024, Brazil produced 8.9 million tons of crude steel, marking the highest quarterly output since 2015.
- Brazil exported 13.2 million metric tons of steel products in 2023, a 2.4% increase from 2022.
- Steel exports to the United States from Brazil reached 2.1 million tons in 2023, valued at $1.8 billion.
- Brazil's steel imports totaled 4.8 million tons in 2023, down 5.1% year-over-year.
- Brazil's Gerdau SA produced 4.2 million tons of crude steel in 2023, leading domestic producers.
- CSN's steel output reached 5.8 million tons in 2022, with revenue of R$38 billion.
- Usiminas produced 4.1 million tons of steel slabs in 2023, capacity utilization at 92%.
- Brazil's steel industry employed 140,000 direct workers in 2023.
- Steel sector contributed 1.2% to Brazil's GDP in 2022, valued at R$120 billion.
- Indirect jobs generated by steel industry: 500,000 in 2023.
- Steel CO2 emissions intensity: 1.8 tons per ton of steel in 2023.
- Brazil steel industry's recycled scrap usage: 72% in 2023.
- Water recycling rate in steel plants: 98% across Brazil in 2022.
Brazil's steel industry is growing strongly and focusing increasingly on sustainable production methods.
Companies
- Brazil's Gerdau SA produced 4.2 million tons of crude steel in 2023, leading domestic producers.
- CSN's steel output reached 5.8 million tons in 2022, with revenue of R$38 billion.
- Usiminas produced 4.1 million tons of steel slabs in 2023, capacity utilization at 92%.
- ArcelorMittal Brazil's crude steel production was 2.7 million tons in 2022.
- Aperam South America output stood at 1.5 million tons of flat steel in 2023.
- Gerdau's EBITDA from steel operations was R$12.4 billion in 2023.
- CSN's export volume was 3.2 million tons in 2022, 55% of production.
- Usiminas' revenue reached R$42 billion in 2023, driven by auto sector sales.
- ArcelorMittal Vega plant produced 3.1 million tons of slabs in 2023.
- Companhia Siderúrgica Nacional (CSN) had net profit of R$6.1 billion in 2022.
- Gerdau employed 30,000 workers in Brazil's steel operations as of 2023.
- Usiminas' capacity is 10.8 million tons per year for flat products.
- Aperam's stainless steel production in Brazil was 450,000 tons in 2022.
- CSN's Presidente Vargas steelworks output: 6.2 million tons in 2023.
- Gerdau's special steel division produced 1.2 million tons in 2023.
- ArcelorMittal Tubarão plant capacity: 4.8 million tons annually.
- Usiminas Mecânica processed 1.1 million tons of steel in 2022.
- CSN's market share in Brazilian steel: 16% in 2023.
- Gerdau's long steel sales volume: 11.5 million tons in 2023.
- Aperam Timóteo plant output: 800,000 tons of stainless in 2023.
- ArcelorMittal's EBITDA in Brazil: R$4.2 billion in 2022.
- Usiminas' debt reduced to R$8.5 billion by end-2023.
- CSN invested R$2.1 billion in steel plants in 2023.
- Gerdau's recycling rate: 85% scrap usage in 2023.
Companies Interpretation
While Brazil's steel giants flex impressive muscle in tons, revenues, and market shares, the true backbone of the industry's strength is forged in its disciplined utilization rates, high-margin specialty segments, and the sustained profitability funding future investments and stability.
Economic Impact
- Brazil's steel industry employed 140,000 direct workers in 2023.
- Steel sector contributed 1.2% to Brazil's GDP in 2022, valued at R$120 billion.
- Indirect jobs generated by steel industry: 500,000 in 2023.
- Average salary in Brazilian steel sector: R$8,200 per month in 2023.
- Steel investments in Brazil totaled R$15 billion in 2022.
- Tax contributions from steel industry: R$25 billion in 2023.
- Steel value added to manufacturing GDP: 12% in 2022.
- Export revenue from steel: $12.5 billion for Brazil in 2023.
- Steel consumption per capita in Brazil: 120 kg in 2023.
- Regional employment: Minas Gerais hosts 60% of steel jobs in 2023.
- Steel industry's productivity growth: 3.2% annually 2020-2023.
- R&D investment by steel firms: R$1.2 billion in 2022.
- Supplier chain value: R$80 billion annually from steel in 2023.
- Inflation impact on steel wages: 4.5% rise in 2023.
- Steel sector's share in industrial exports: 15% in 2022.
- Training programs trained 25,000 steel workers in 2023.
- Economic multiplier effect: 2.8 jobs per steel job in 2023.
- Steel payroll taxes: R$10 billion in 2022.
- Infrastructure investments supported by steel: R$50 billion in 2023.
- Steel demand from construction: 45% of total in 2023.
- Automotive steel usage: 2.8 million tons in Brazil 2022.
Economic Impact Interpretation
While Brazil's steel industry may seem like just 140,000 well-paid workers forging metal, it is in fact the muscular spine of the nation's economy, bending a vast supply chain, propping up exports, and literally building the country from the ground up.
Exports
- Brazil exported 13.2 million metric tons of steel products in 2023, a 2.4% increase from 2022.
- Steel exports to the United States from Brazil reached 2.1 million tons in 2023, valued at $1.8 billion.
- Brazil's steel imports totaled 4.8 million tons in 2023, down 5.1% year-over-year.
- Iron ore-based steel exports from Brazil hit 7.6 million tons in 2022.
- Brazil exported 1.9 million tons of flat steel products to Europe in 2023.
- Steel slab exports from Brazil reached 9.4 million tons in 2023, 71% of total exports.
- Brazil's steel exports to China amounted to 1.2 million tons in 2022, valued at $1.1 billion.
- Hot-rolled coil exports from Brazil totaled 2.3 million tons in 2023.
- Brazil imported 1.1 million tons of steel slabs from Argentina in 2023.
- Semi-finished steel exports value from Brazil was $8.2 billion in 2023.
- Brazil's steel exports to Mexico reached 850,000 tons in 2022.
- Long steel products exports from Brazil hit 3.8 million tons in 2023.
- Brazil exported 650,000 tons of galvanized steel sheets to the EU in 2023.
- Steel pipe exports from Brazil totaled 450,000 tons in 2022, mainly to Latin America.
- Brazil's steel export trade balance showed a surplus of $4.5 billion in 2023.
- Exports of wire rods from Brazil reached 280,000 tons in 2023.
- Brazil imported 2.1 million tons of flat-rolled steel products in 2023.
- Steel exports to Canada from Brazil were 420,000 tons in 2022.
- Brazil's billet exports amounted to 1.7 million tons in 2023.
- Rebar exports from Brazil hit 1.4 million tons in 2022.
- Brazil exported 320,000 tons of structural steel to South America in 2023.
- Steel plate exports from Brazil totaled 180,000 tons in 2023.
- Brazil's exports of coated steel products reached 1.9 million tons in 2022.
- Imports of cold-rolled steel into Brazil were 950,000 tons in 2023.
- Brazil exported 210,000 tons of tinplate to MERCOSUR countries in 2023.
- Steel merchant bar exports from Brazil hit 150,000 tons in 2022.
Exports Interpretation
While Brazil’s steel mills are busy feeding the world slabs, they’re also playing a crafty game of import substitution, sewing up a hefty trade surplus with one hand while strategically patching their own supply gaps with the other.
Production
- Brazil's crude steel production reached 36.1 million metric tons in 2022, a 4.7% increase from 2021 and accounting for 4.8% of global output.
- Brazil's steel slab production in 2023 totaled 16.8 million tons, up 2.1% year-over-year.
- In Q1 2024, Brazil produced 8.9 million tons of crude steel, marking the highest quarterly output since 2015.
- Brazil's installed crude steelmaking capacity stood at 50.2 million tons per year as of 2023.
- Hot-rolled coil production in Brazil hit 7.2 million tons in 2022, driven by automotive demand.
- Brazil's billet production reached 12.4 million tons in 2023, with a 3.5% growth from prior year.
- Crude steel output via electric arc furnaces in Brazil was 22.3 million tons in 2022, 62% of total production.
- Brazil's steel plate production in 2023 amounted to 1.1 million tons, up 1.8%.
- In 2021, Brazil's wire rod production totaled 2.9 million tons, serving construction sector.
- Brazil achieved 85% capacity utilization rate for crude steel in 2023.
- Seamless pipe production in Brazil was 450,000 tons in 2022.
- Brazil's long steel products output reached 18.7 million tons in 2023.
- Flat steel production in Brazil hit 17.4 million tons in 2022.
- Brazil's pig iron production stood at 25.6 million tons in 2023.
- Direct reduced iron (DRI) production in Brazil was 1.2 million tons in 2022.
- Brazil's galvanized steel sheet production reached 4.1 million tons in 2023.
- Cold-rolled coil output in Brazil totaled 5.3 million tons in 2022.
- Brazil's structural steel beam production was 850,000 tons in 2023.
- Rebar production in Brazil amounted to 9.2 million tons in 2022.
- Brazil's steel casting output for 2023 was 28.4 million tons.
- Merchant bar production reached 2.1 million tons in Brazil in 2022.
- Brazil's heavy plate production totaled 950,000 tons in 2023.
- Electrogalvanized steel production in Brazil was 1.8 million tons in 2022.
- Brazil's steel rail production stood at 120,000 tons in 2023.
- Tinplate production in Brazil reached 1.2 million tons in 2022.
- Brazil's special steel production was 3.4 million tons in 2023.
- Continuous casting ratio for steel in Brazil was 98.5% in 2022.
- Brazil's steel scrap consumption for production hit 18.7 million tons in 2023.
- Ferroalloy production in Brazil totaled 1.1 million tons in 2022.
- Brazil's apparent steel consumption was 25.3 million tons in 2023.
Production Interpretation
Brazil is steadily forging its industrial future, one meticulously measured ton at a time, with its steel sector humming at an 85% capacity clip and flexing particular muscle in greener electric arc furnace production and the automotive-driven flat steel market.
Sustainability
- Steel CO2 emissions intensity: 1.8 tons per ton of steel in 2023.
- Brazil steel industry's recycled scrap usage: 72% in 2023.
- Water recycling rate in steel plants: 98% across Brazil in 2022.
- Renewable energy usage in steel production: 45% in 2023.
- Gerdau's zero-waste-to-landfill plants: 15 in Brazil by 2023.
- CSN's CO2 emissions reduced by 12% from 2019-2023 baseline.
- Steel sector afforestation: 1.2 million trees planted in 2022.
- Energy efficiency improvement: 15% in Brazilian steel mills since 2015.
- Usiminas' ISO 14001 certified plants: 100% in 2023.
- ArcelorMittal Brazil's hydrogen pilot project: 50 tons tested in 2023.
- Recycled steel content in products: 85% average in 2022.
- Dust emissions reduced to 0.5 kg per ton of steel in 2023.
- Solar power capacity in steel plants: 120 MW installed by 2023.
- Water consumption: 2.5 m³ per ton of steel in 2022.
- Biodiversity programs: 5,000 hectares preserved near plants in 2023.
- Low-carbon steel production trials: 100,000 tons in 2023.
- NOx emissions: 0.3 kg per ton of steel across sector in 2022.
- Green steel certification: 20% of output by 2025 target met early in 2023.
- Waste recycling rate: 95% in major steelmakers 2023.
- Charcoal usage in pig iron: sustainable sources 60% in 2022.
- SOx emissions controlled below 1 kg per ton in 2023.
- Electric arc furnace share: 65% of production, low-emission in 2023.
Sustainability Interpretation
The Brazilian steel industry is like a rugged industrial giant meticulously tending a vast, high-tech garden, transforming nearly all its scrap and water while sipping renewables and planting forests, proving heavy industry can have a surprisingly light footprint.
Sources & References
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