Global Pig Iron Production Falls 4.4% in July 2025

Sharp July Decline in Global Pig Iron Production Reflects Industry Slowdown

Global pig iron production fell 4.4% year-over-year in July 2025, totaling 115.1 million tons, according to World Steel Association data cited by Ukrmetprom. Compared to June, output dipped by 0.2%, underscoring weakening demand and tighter market conditions in the ferrous metals sector.

Of the total, 105.7 million tons came from the blast furnace method, a 3.9% YoY drop. Meanwhile, the direct reduction method (DRI) produced just 9.5 million tons, down a steep 12.4% year-over-year and 11.9% month-over-month. These figures point to declining industrial activity and a shift in raw material utilization amid global economic uncertainty.

India stood out with a 7.7% annual increase in pig iron output, reaching 89.24 million tons between January and July. In contrast, major producers like China, Japan, and South Korea reported annual declines, ranging from 1% to over 4%. China still leads globally, producing 505.83 million tons in the same period, although that represents a 1.3% drop from the previous year.

Global Pig Iron Production by Technology and Country

Pig iron output through July 2025 totaled 813.7 million tons, marking a 1.1% decline from the same period in 2024. The blast furnace method accounted for 740.02 million tons, while DRI contributed 73.7 million tons. Despite its smaller share, DRI saw sharper monthly and annual contractions, suggesting a more volatile production pattern.

Ukraine climbed to 13th among 40 pig iron-producing nations, generating 692,100 tons in July—an 11.4% increase year-over-year and 4.6% more than in June. Its year-to-date output reached 4.36 million tons, a 6.7% rise compared to the same period last year. These gains highlight Ukraine’s ongoing recovery in industrial capacity despite regional challenges.

Looking back at 2024, global pig iron production totaled 1.391 billion tons, a 1.3% YoY decline. Blast furnace production dropped 1.6%, while DRI output grew 4.5%. The divergent trends between these methods underline how energy access, environmental regulations, and technology investments shape national output strategies.

SuperMetalPrice Commentary:

The 4.4% drop in global pig iron production in July 2025 signals more than short-term volatility—it reflects deeper structural shifts in global steelmaking. Energy costs, carbon policies, and demand changes continue to reshape production methods. The sharp decline in DRI output, often promoted for its lower emissions, may raise questions about feedstock availability or investment delays. Watch for India to play a larger role globally, while Europe and East Asia may tighten output further amid economic headwinds and decarbonization pressures.