The market for high-strength steel was challenging. Primarily the European market was characterized by low activity due among other things to seasonality.
Demand for standard steel in Europe was weak during the quarter and the market saw a more pronounced seasonal downturn than normal.
Market prices for strip and heavy plate in Europe were relatively stable, albeit at a low level, during the fourth quarter. Distributors have continued to adopt a cautious approach. Inventory levels in the market are estimated to be normal or somewhat low. Import volumes were at a high level, relative to a very subdued total European steel market.
In North America, demand for heavy plate was weak and market prices saw a negative trend during the quarter. Inventory levels at North American distributors were still low, but distributors were generally cautious against a backdrop of decreasing market prices. Import volumes increased during 2024.
Market prices in China for strip and heavy plate saw an upswing from low levels at the start of the fourth quarter. This was due to announced stimulation of the Chinese economy.
Demand is expected to remain weak on SSAB's home markets, Europe and North America during the first quarter of 2025, but with a seasonal improvement in shipments.
Compared with the fourth quarter of 2024, SSAB Special Steels’ shipments are assessed to be significantly higher during the first quarter of 2025, whereas prices are expected to be somewhat lower.
SSAB Europe’s shipments are assessed to be significantly higher, whereas prices are expected to be lower during the first quarter of 2025 compared to the fourth quarter of 2024.
SSAB Americas’ shipments are assessed to be somewhat higher, whereas prices are expected to be somewhat lower.
The costs of raw materials for SSAB Special Steels and SSAB Europe are expected to be stable compared to the prior quarter, whereas for SSAB Americas, the costs are expected to be somewhat higher.
| Q1 2025 vs. Q4 2024 | ||
|---|---|---|
| Shipments | Realized prices | |
| SSAB Special Steel | Significantly higher | Somewhat lower |
| SSAB Europe | Significantly higher | Lower |
| SSAB Americas | Somewhat higher | Somewhat lower |
Definitions: Significantly lower (>10 %), Lower (5-10 %), Somewhat lower (0-5 %), Stable (~0 %), Somewhat higher (0-5 %), Higher (5-10 %), Significantly higher (>10 %)