LONDON: Global steel production dropped in January and output in top producer China fell 13 percent, data from a producers' body showed on Tuesday, as industrial demand remains weak and economic prospects are uncertain.
World crude steel production fell 7.8 percent to 117 million tonnes in January, compared with the same month last year, the data from the World Steel Association showed.
China's crude steel output fell 13 percent in the same period to 52.1 million tonnes.
"It's a hefty fall but it's a slight bounce back compared with last month," Macquarie steel and iron ore analyst Colin Hamilton said.
"Last year was phenomenally strong and the industrial sector looked to be accelerating rapidly while this year things don't look horrendous but demand from some industrial sectors such as Chinese construction is relatively weak."
Steel production in Japan, the world's second-largest steelmaker, was down 10.6 percent year-on-year to 8.6 million tonnes.
Last year the country's steel industry was hard hit by competition from other Asian producers and weaker domestic demand due to a migration of Japanese manufacturers to lower-cost Asia countries.
A strong yen has also affected its export competitiveness.
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