With China’s massive construction sector still in a funk and the U.S. and Europe likely heading into recessions, India has emerged as a savior for flagging global steel demand.
Poised to overtake China as the world’s most populous country next year, India is in the midst of a building boom. Prime Minister Narendra Modi is seeking to modernize roads, rail networks and ports in attempt to vie with China as a manufacturing hub.
That’s set to translate into a 6.7% jump in steel demand to around 120 million tons in 2023, according to the World Steel Association, the highest growth among major economies. India, which also saw a similar expansion this year, overtook the U.S. to become the world’s No. 2 steel consumer after China a couple of years ago.