Steel Products
February 2, 2021
Kemmsies: Expect Huge Demand for Steel in Next Five Years
Written by Sandy Williams
Dr. Walter Kemmsies, managing partner at the Kemmsies Group, is bullish on the steel market for 2021. In comments during Tuesday’s virtual Tampa Steel Conference 2021, Kemmsies estimated a minimum metals demand of 218 million tons from 2021 to 2025, most of which will be steel. That is an additional 20 million tons in each of five years from a U.S. industry that is currently facing a shortage.
Where will that steel come from? Through new capacity coming online this year and next and through an increase of steel imports from China and elsewhere, Kemmsies said. He noted that infrastructure steel, in particular, will be used in quantity for specific projects like bridges that may not need replacement again for decades. Kemmsies’ conservative estimate of demand is shown in the chart below.
