October 27, 2020
On October 26 (Mon.), 2020, a Ministerial Meeting of the Global Forum on Steel Excess Capacity (GFSEC) was held via video conference, and Mr. Tanaka Shigehiro, Vice-Minister for International Affairs, attended the meeting as a representative of Japan.
Some sessions of the ministerial meeting brought together Ministers and senior industry representatives from GFSEC member economies, and participants held discussions on impacts of COVID-19 on steel demand and multilateral cooperation to solve the issue of structural steel excess capacity.
1. Participants in the meetingAs participants, the meeting brought together Ministers and senior industry representatives of 30 major steel producer countries and regions, including Japan, the European Union (co-chair), the ROK (co-chair), the United States, Brazil, Russia and Turkey, as well as representatives of the secretariat of OECD and stakeholders of industrial players and other organizations.
2. Major discussions at the meeting
Participants confirmed that even before the outbreak of the novel coronavirus disease (COVID-19), steel markets were facing a significant economic challenge, and although the gap between production capacity and demand had been decreasing from 2016 to 2019, overcapacity remained structurally high and the gap started to increase again in 2019.
They shared the recognition that the importance of measures for addressing the issue of steel excess capacity is growing backed by a dramatic decrease in steel demand along with expansion of COVID-19.
As a multilateral effort open to all G20 members and interested OECD members, they agreed to continue the Global Forum’s efforts to cope with steel excess capacity.
3. Outcome documents
Division in Charge
Metal Industries Division, Manufacturing Industries Bureau