Steel sector recovery stymied by economy

Sep 27, 2012 | 11:29 AM | Anne Riley

Tags  steel, recession, SMA, AISI, Canacero, Thomas Danjczek, Kevin Dempsey, Anne Riley

CANCUN, Mexico — The U.S. economy remains in a "fragile" state and could even be heading toward another recession, keeping the struggling domestic steel sector under pressure, industry leaders said.

"With less than 2-percent growth, (the U.S. economy) is near stagnation. We may be losing momentum and we may be heading toward another recession," Steel Manufacturers Association president Thomas A. Danjczek told attendees at the second annual Mexican Steel Conference hosted by Mexican steelmakers association Canacero. "While the recovery is under way, none of us is terribly optimistic that things will be strong a year out. We’re very fragile."

Kevin Dempsey, senior vice president of public policy and general counsel at the American Iron and Steel Institute, agreed that the recovery so far has been "fragile," noting that despite some economic growth in recent quarters, it hasn’t been enough to trigger any real resurgence.....





Latest Pricing Trends

Poll

Are you stocking more inventory today than 18 months ago?

Yes
No


View previous results