German steel production declined markedly in 2025, according to the National Steel Manufacturers Federation WV Stahl in its annual survey.
The volume of steel production at German plants last year amounted to 34.1 million tons, which is 9% lower than the already weak figure for 2024. The same low level was observed only in 2009, during the global financial crisis.
.Currently, capacity utilization has fallen below 70%, which, according to V.
V. Stahl, is a critical marker for energy-intensive steel production.
The drop compared to the same period last year was more significant for the production of rolled steel, the production of which decreased by 10.7% to 23.6 million tons. Steel production by electric steelmaking fell by 3.5% to 10.5 million tons. In December, the gap compared to the same period last year decreased by only 0.2% compared to December 2024 and amounted to 2.7 million tons.
.For the fourth year in a row, German steel production has remained below 40 million tons, which is considered the threshold for profitable steel production across the country, Kallanish notes.
German steel demand has also declined. According to preliminary data, the projected supply on the market of 30 million tons is again lower than the already low average over the past four years, the federation notes.
W. V. Stahl believes that the development of foreign trade in steel is particularly worrisome. It says that global overcapacity, especially in Asia, and the increasingly aggressive and unpredictable US customs policy are further exacerbating the situation.
"Under such conditions, the steel industry is unlikely to be able to recover in 2026," warns Kerstin Maria Rippel, managing Director of WV Stahl.
"In order to limit import pressure on the European market, the EU Commission's reasonable proposal to create a highly effective protective instrument should be implemented immediately. The industry cannot afford further delays," she concludes.
Author: Christian Kel Germany
Kallanish.com
