“ In our opinion , the EU ( and the UK ) remains the region currently facing the biggest challenges . The region ( in particular , its steel-using sectors ) are challenged on a multitude of fronts : geopolitical shifts and uncertainty ; high inflation ; monetary tightening and partial withdrawal of fiscal support ; and still high energy and commodity prices . The persistence of these downside factors resulted in a major drop in the region ’ s steel demand in 2023 to the lowest level since the year 2000 and to substantial downward revisions of the forecast for this year . After only a technical rebound in 2024 , the region ’ s steel demand is expected to finally show a meaningful recovery with 5.3 % growth in 2025 . The forecasted steel demand for the EU in 2024 is only 1.5 Mt higher than the pandemic trough in 2020 ,” outlined the association .
“ U . S . steel demand continues to show healthy steel demand fundamentals . The country ’ s steel demand is expected to quickly return to growth path in 2024 after a sharp drop led by housing market slowdown in 2023 thanks to strong investment activity , which received a boost from the Inflation Reduction Act and a gradual recovery in housing activity ,” it added . n
Steel sector trends ( worldsteel )
Construction : Weakness in housing activity is expected by worldsteel to stretch well into 2024 in most major markets on the lagged impact of monetary tightening . A meaningful recovery in residential construction is expected to begin from 2025 onwards .
Global manufacturing activity : Leading indicators suggest the start of a recovery in global manufacturing activity in 2024 . The automotive sector showed the long-awaited strong recovery in 2023 on pent-up demand and easing supply chain constraints . Following a year of strong double-digit growth in all major auto-producing countries , worldsteel expects to see the sector showing weak growth at best in 2024 in most of them .
Investment : Strong investment activity in manufacturing facilities and public infrastructure have underpinned global steel demand in 2023 . The green transition of the global economy is one of the major factors behind the strength in public infrastructure investments .
GENERAL NEWS
Aerospace digitalisation boost
Global technology intelligence firm , ABI Research , forecasts that aerospace manufacturers will spend US $ 53.8 billion on digital technologies in 2034 , up from US $ 30 billion in 2022 . These findings are from its ‘ Digitalisation and the Aerospace Industry ’ report .
“ Aerospace firms are under pressure from airlines positive about the demand for air travel and are looking to refresh their aircraft roster . Both Boeing and Airbus have a growing order book but cannot take regulation shortcuts to fulfil them ,” commented Michael Larner , Industrial and Manufacturing Research Director , ABI Research .
Technology suppliers can help firms across the entire value chain to optimise processes while remaining compliant . According to Larner : “ Manufacturers will need to become more data-savvy by using data analytics for early warning signs of problems in the supply chain or with part of the aircraft .”
Traceability is also a key issue for aerospace manufacturers .
“ It is not just individual components that need certification ; individual tools used to perform tasks must also be certified . Suppliers focusing on asset tracking and working with connectivity suppliers have opportunities to support aerospace manufacturers ’ efforts to ensure that tools are not lost , which causes production delays ,” Larner explained .
Aerospace manufacturers are expected to invest in digital threads across their operations and supply chains .
“ It is not just aircraft manufacturers who are finding it challenging to meet increased demand ; it is the same for manufacturers in the defence industry ( military aircraft , missiles , drones etc .) and those involved in producing satellites ,” Larner concluded . n
www . abiresearch . com
Vaski acquires Pivatic Oy
Vaski Group Oy from Seinäjoki , Finland , has expanded through the acquisition of Pivatic Oy ( Hyvinkää , Finland ). This marks a significant milestone for Vaski as it continues to strengthen its growth and position in the industry .
“ This combination is a merger of equals where both businesses achieved a record recent order backlog of € 11 million . After the purchase , combined sales exceed € 25 million and 100 staff ,” explained Pivatic Oy .
Vaski significantly enhances its coil-fed systems business with Pivatic ’ s focus on coil-fed punching and bending lines for sheet metal processing . Pivatic , in turn , benefits from Vaski ’ s focus on coil-feeding technologies for industry .
Vaski managing director , Michael Mansour , remarked : “[ Following ] significant growth in Vaski ’ s business , I am excited by this combination which creates a new leader in coil-fed systems and leverages both companies ’ multi-coil expertise whilst bringing Pivatic ’ s fifty years of tradition into Vaski .”
Jan Tapanainen , Pivatic CEO , added : “ I am thrilled to be part of this merger creating significant cross-selling synergies and a clear vision for both businesses in the future .”
In 2023 , over 18 % of Vaski ’ s revenue was
Above from left to right : Mikko Lilja , Jan Tapanainen , Michael Mansour and Mika Virtanen .
spent on research and development . With a shared commitment to innovation and quality , Vaski Group confirmed it is ready to leverage its expertise in developing Pivatic ( particularly in strengthening research and development activities ).
Both Vaski and Pivatic have solidified their position as international enterprises with over 90 % of products exported . Established in 2015 as Rodstein , Vaski underwent a name change in 2020 after a rapid growth phase . Pivatic is set to celebrate its fiftieth anniversary next year . n
https :// pivatic . com / en /
Image : Shutterstock . com .
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