LONDON (Scrap Register): The annual total global crude stainless steel production for 2013 is estimated to have reached an all-time high of 37.3 million tons. This surpasses the previous record mark, set in 2012, by 5.5 percent, said MEPS International in a research note.

MEPS forecasts that worldwide crude stainless steel output will increase by a further 4.6 percent in 2014, to a new peak figure of 39 million tons.

Production during the second half of 2013 exceeded earlier predictions. Nevertheless, the outturn in South Korea, EU and Japan was lower than in 2012. Output in Taiwan and the United States recovered somewhat, to achieve figures estimated to be more than 2 percent higher than in the previous twelve months. However, production in all of these established stainless steel making countries and regions remains significantly below the peak figures achieved in 2006.

This trend is, of course, more than outweighed by the expansion of production in China and other emerging nations. China's output last year is estimated to be 3.4 times the 2006 figure. After falling back in 2008 and 2009, steelmaking in the "Others" category has recovered to turn out 3 percent higher in 2013 than in 2006.

The growth of Chinese production will, inevitably, slow from the rapid rate of recent years. We do anticipate, though, that output will continue to climb by 6.8 percent in 2014 - faster than anywhere else - to reach 19.3 million tons. This would represent almost 50 percent of global stainless steel production.

Output in the countries classed as "Others" is forecast to grow by 3.5 percent, this year, to total 3.725 million tons.

Economic activity continues to recover, in Japan, supported by the government's stimulus measures. Stainless steel output in 2014 is predicted to climb by a healthy 3.9 percent, year-on-year, to 3.325 million tons.

After slipping by between 2 and 3 percent in 2013, the outturn in both South Korea and Taiwan is forecast to increase by a similar amount, this year, to achieve figures of 2.125 million tons and 1.1 million tonnes, respectively - close to the numbers recorded in 2012.

Production in the United States is expected to exhibit further, moderate growth of around 1.2 percent in 2014, reaching an annual outturn of 2.05 million tons.

Output in the EU is anticipated to turn to a positive trend in 2014, after falling during the past two years. Production is forecast to increase by more than 2 percent, year-on-year, to total 7.375 million tons.