German steel producer Thyssenkrupp is moderately positive about the prospects for global steel demand in 2026, although demand will depend on geopolitical tensions, energy prices and the performance of steel-consuming industries, the company said. Thyssenkrupp's forecast does not yet reflect the potential impact of the new EU steel safeguards that came into force on July 1. Global steel demand is expected to
In 2026, it will increase by 0.7% year-on-year, despite a reduction in consumption in China, as demand is expected to increase in the EU and the United States.
Thyssenkrupp expects further production declines in the automotive sector. "Currently, production volumes are expected to decrease during the entire 2025-26 fiscal year compared to the previous year. The main factors are the dynamics of oil prices combined with temporary restrictions on shipping in the Strait of Hormuz, as well as weaker conditions in the Chinese market," the company said in a statement. In contrast, Thyssenkrupp expects equipment sales to grow by 1.7%, driven by positive manufacturing trends in the EU, China, and the United States last year.
Thyssenkrupp Steel Europe continues to reduce its costs, reducing staff numbers by 3% year-on-year to 25,078 by the end of June, while reducing investments by 42% to 265 million euros ($305 million) in the first nine months of fiscal year 2025-26.
The company's investments were lower than a year earlier, partly due to the fact that the financing received for the direct recovery (DR) installation resulted in a negative investment balance. Construction of the DR tower at the plant is ongoing, while the pre-assembly of the two melting furnaces at the site is almost complete. "Intensive preparations are currently underway for the modernization of MNLZ No3 in Duisburg, which is scheduled to begin in the fourth quarter of fiscal year 2025-26," the company said in a statement. During the last reporting period, the volume of Thyssenkrupp Steel Europe orders for
It exceeded the level of the previous year, which was facilitated by an increase in orders from industrial and commercial customers, as well as stable orders in the automotive sector. Sales remained below last year's level, reflecting the continuing weak macroeconomic situation. The division's adjusted profit increased despite lower revenue, driven by the suspension of hiring, restructuring measures, increased production and logistics efficiency, and lower raw material costs. These factors more than offset the decline in sales, Thyssenkrupp said in a statement. On July 9th, the company
Thyssenkrupp has completed the transfer of its 50% stake in Huttenwerke Krupp Mannesmann (HKM) to a German manufacturer.
