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More than half of the final steel used worldwide was in the construction and infrastructure sectors in 2019, with the mechanical equipment and automotive sectors coming in second and third. Steel is an alloy usually made by combining its main component iron and other elements. The largest steel-producing country today is China, accounting for 57% of the world's steel production by 2020. China will be the first country to produce more than one billion tons of steel by 2020.

In November, steel rebar futures dropped to CNY 3,180 a tonne, the lowest level in a month and a half, as new supply data clashed with a gloomy demand forecast. Despite low orders from domestic consumers, China's steel production increased to 81.9 million tons in October for the first time in four months, according to new data. As a result, Chinese mills have overrun international markets in spite of other governments' increasing trade restrictions; during this time, exports reached 11.2 million tons, the second-highest amount ever. Beijing responded by passing a $1.4 trillion debt package that would allow local governments to swap out hidden debt and reduce their financing costs in an effort to boost the economy. However, the absence of fresh direct stimulus infusions dampened expectations that demand would increase sufficiently to encourage new building and manufacturing projects. The health of significant Chinese developers, who are among the world's biggest consumers of steel, is at risk due to the poor demand for housing and real estate investment in China.

The World Steel Association (worldsteel) publishes its Short-Term Outlook (SRO) for 2022 and 2023. Worldsteel estimates that steel demand will grow by 0.4% in 2022, reaching 1,840.2 million tons after a 2.7% percent increase in 2021. In 2023, steel demand will increase by 2.2% to reach 1,881.4 million tons. Current projections are made against the backdrop of the war in Ukraine and are subject to high uncertainty.