Forecasts suggesting that global steel demand will increase by around 1.3% in 2026 appear to be materializing. A key driver behind this development is the rapidly growing demand in India.

Recent figures from China also point to a positive outlook. Domestic demand increased noticeably in January and February 2026, while steel exports declined by more than 8%.

Production of hot metal rose by approximately 1.2%, supported by higher iron ore demand during the first two months of the year.

Additional momentum comes from Beijing’s 2026 Government Work Report, which outlines plans to promote industries with strong growth potential. These include: integrated circuits, aerospace, biomedicine, and drone technology. Analysts expect these initiatives to increase demand for stainless steel products.

Data on global stainless steel melt shop production, published at the end of February, show that capacity constraints are already becoming an issue. It is no longer only European stainless steel mills operating at the technical limits of capacity. The bottleneck is increasingly affecting producers in other regions as well.