Rolled steel imports into Brazil rise 29.7% from January to August

Imports of rolled steel in August this year totaled 393,000 tonnes, marking a 20.3% drop compared with the same period last year, according to data from the Brazil Steel Institute (IABr). Despite the decline, year-to-date arrivals since January rose 29.7%, reaching 4.1 million tonnes.

As for total steel imports, including semi-finished products for sale, the volume reached 491,000 tonnes in the month, down 24% year-on-year. Again, despite the decrease, cumulative imports for 2025 grew 16.5%, reaching 4.6 million tonnes. China, accused by the domestic steel sector of unfair competition, accounted for 61.3% of the shipments.

Around three weeks ago, Brazil Steel revised its estimates for 2025. Back in November 2024, the forecast was for rolled steel imports to grow 11.5%, totaling 5.3 million tonnes. However, purchases have accelerated since then, and the institute now projects a 32.2% increase, reaching 6.3 million tonnes.

It is worth noting that the surge in steel imports, particularly from China, has already triggered negative consequences such as plant shutdowns, layoffs, and postponed investments. Due to this ongoing crisis, the Brazilian government implemented a trade defense measure in June last year, which was renewed this June with some adjustments. However, the effects have not been as effective as expected.

Against this challenging backdrop, major players in the sector have taken action. Gerdau, for example, has laid off more than 1,500 employees and decided to scale back its investment levels in Brazil starting in 2026. ArcelorMittal, meanwhile, said it has not carried out direct layoffs but tied the value of new investments in the country to progress in trade defense policies. Usinas Siderúrgicas de Minas Gerais (Usiminas) has not ruled out cutting staff and has already threatened to reduce investments.

A survey by Brazil Steel indicated that if conditions do not improve and the utilization rate of the Brazilian steel industry falls from the current 66% to 40%, more than 37,000 workers could lose their jobs. The entity also said that, due to the critical situation, the industry will revise downward its investment projections for Brazil for the 2025–2029 period, previously estimated at around R$100 billion for 2024–2029.

Crude steel production declines in Brazil and Minas Gerais
Another negative indicator for the domestic industry was crude steel output. According to the institute, Brazil produced 2.9 million tonnes in August 2025, a 4.6% drop compared with the same month in 2024. Year-to-date output totaled 22.2 million tonnes, down 1.5% year-on-year.

In Minas Gerais, Brazil’s main steel-producing state, production reached 870,000 tonnes in August, totaling 6.7 million tonnes in the first eight months of the year. These volumes represented declines of 5.8% and 0.8%, respectively.

Domestic sales, exports, and apparent consumption
According to Brazil Steel, domestic steel sales fell 6.9% in August year-on-year, to 1.8 million tonnes, but rose 0.6% in the year-to-date, to 14.2 million tonnes. Meanwhile, exports grew 4% in the month, to 861,000 tonnes, and 1.9% in the year-to-date, totaling 7.1 million tonnes.

Apparent consumption dropped 11.3% in August compared with the same period last year, to 2.2 million tonnes, but rose 5.3% in the cumulative result, reaching 18.2 million tonnes — driven by imports. The entity does not provide state-level data for these indicators.

Source: Diário do Comércio

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