New Market Research Report: Austria Metals Report Q3 2011

July 7, 2011 - PRLog -- BMI's latest Austria Metals Report anticipates a record-breaking year for Austrian steel-making, which has witnessed a rapid rebound from recession having taken advantage of key growth areas in the European economy.

In the first four months of 2011, Austria crude steel output was up 15.1% year-on-year (y-o-y) to 2.59mn tonnes. This follows a strong performance in 2010 when production grew 27.3% to 7.21mn tonnes. BMI believes the industry is on course for output of 7.95mn tonnes in 2011, representing an increase of 10.2% y-o-y. This is an upward revision from the 8.0% growth forecast in the previous quarter.

Austrian production has undergone a dramatic bounce back from the 25.5% decline reported in 2009, largely due to Voestalpine's product mix, which favours steel-using industries that have undergone strong recoveries, such as the automotive and machine-making sectors. Other specialisations, such as aviation, railway infrastructure and wind turbines, have ridden out the recession with no significant drop in demand. It is also less reliant on the construction sector than German peers such as ThyssenKrupp and adds value to its production through its stainless steel business, which supplies welders and tool and turbine makers, though it suffered badly during the economic downturn. The steelmaker also managed to improve margins by successfully achieving efficiency savings and cost reductions in 2010.

------------------------------------------------------------
Full Report Details at
- http://www.fastmr.com/prod/205380_austria_metals_report_q...
------------------------------------------------------------

BMI believes the current economic environment will lead to stable full capacity in the Austrian steel industry in 2011, with a relatively secure price level in all divisions. However, capacity constraints will prevent any further significant growth in crude steel over the medium term, although BMI expects investment in downstream sectors.

Compared with pre-recession activity, domestic demand has yet to return to normal. The outlook for the Austrian economy in 2011 remains fairly positive, with rising external demand, higher capacity utilisation and improved confidence about the strength of the recovery likely to see exports and investment continue to drive growth. Moreover, falling unemployment on the back of this should improve consumer confidence and see household spending contribute more strongly to growth in the coming quarters. While pronounced sovereign debt ructions in the eurozone are not part of our core scenario at present, we highlight that should events take a turn for the worse, Austrian government borrowing costs would spike, posing downside risks to growth. Nevertheless, finished steel consumption should reach 4.27mn tonnes by 2015, an increase of around 7% on pre-crisis levels. In the aluminium market, trends will mirror steel consumption although the trend will be stronger, with growth in of 8.2% to 384,200 tonnes in 2011, following growth of 11.9% to 355,100 tonnes in 2010 and a contraction of 17.1% in 2009. By 2015, consumption rates should be exceeding 500,000 tonnes.

Report Table of Contents:

SWOT Analysis
- Austria Political SWOT
- Austria Economic SWOT
Global Market Overview
- Steel To Average US$580/tonne In 2011
- BMI Steel Forecast
- Steel Prices
- Cost Push On The Supply Side
- Few Supply Constraints In Sight, For Now
Commodities Forecast
- Commodity Strategy - Metals Update
- Aluminium
- Copper
- Gold
- Lead
- Nickel
- Tin
- Zinc
Regional Overview
Forecast Scenario
- Table: Austria Metals Industry, 2008-2015 ('000 tonnes unless stated)
- Macroeconomic Forecasts
- Table: Austria - Economic Activity
Competitive Landscape
Company Profiles
- VoestAlpine
- Austria Metall AG
Global Assumptions, Q311
- Table: Global Assumptions, 2009-2015
- Table: Global And Regional Real GDP Growth, 2010-2013 (% change y-o-y)
- Table: Selected Exchange Rates, 2010-2013 (average)
- Developed States
- Table: Developed States' GDP Growth, 2010-2013 (% change y-o-y)
- Emerging Markets
- Table: Emerging Markets' GDP Growth, 2010-2013 (% change y-o-y)
- Consensus Forecasts
- Table: Bloomberg Consensus GDP Growth Forecasts, 2011-2012 (% change y-o-y)
BMI Methodology
- How We Generate Our Industry Forecasts
- Cross Checks

About Business Monitor International

Business Monitor International (BMI) offers a comprehensive range of products and services designed to help senior executives, analysts and researchers assess and better manage operating risks, and exploit business opportunities, across 175 markets.  BMI offers three main areas of expertise: Country Risk BMI's country risk and macroeconomic forecast portfolio includes weekly financial market reports, monthly regional Monitors, and in-depth quarterly Business Forecast Reports.  Industry Analysis BMI covers a total of 17 industry verticals through a portfolio of services, including in-depth quarterly Country Forecast Reports.  View more research from Business Monitor International at http://www.fastmr.com/catalog/publishers.aspx?pubid=1010

About Fast Market Research

Fast Market Research is an online aggregator and distributor of market research and business information. We represent the world's top research publishers and analysts and provide quick and easy access to the best competitive intelligence available.

For more information about these or related research reports, please visit our website at http://www.fastmr.com or call us at 1.800.844.8156.

# # #

Fast Market Research is an online aggregator and distributor of market research and business information. We represent the world's top research publishers and analysts and provide quick and easy access to the best competitive intelligence available.