ArcelorMittal, the world’s second-largest steelmaker, announced on Thursday that it is expecting an improvement in steel demand for 2025. The company also stated that its capital expenditures for the year would be similar to last year’s levels, following better-than-expected fourth-quarter earnings.
CEO Aditya Mittal expressed optimism about the long-term outlook for the steel industry, highlighting the potential for growth and returns in key markets where the company operates globally. ArcelorMittal plans to invest between $4.5 billion and $5.0 billion in 2025, with a focus on markets like Brazil, India, and the United States.
In a strategic move, the company also revealed plans to construct a new steel plant in Calvert, Alabama. Additionally, ArcelorMittal anticipates global steel demand growth to range between 2.5% and 3.5% for 2025, excluding China, which is the top consumer and producer of steel worldwide.
The company reported a 13% increase in its quarterly earnings before interest, taxes, depreciation, and amortization (EBITDA), surpassing market expectations. ArcelorMittal shipped approximately 13.5 million metric tons of steel in the quarter, indicating a slight increase from the same period last year and the previous quarter.
The positive outlook for steel demand aligns with recent performance in the industry, as demonstrated by Swedish peer SSAB’s strong fourth-quarter results. Overall, ArcelorMittal’s strategic investments and focus on key markets position the company well for future growth and profitability.
