October Overview is now online
October 12, 2020 – Volume 23, Issue 10
Global Demand for Metallic Wire & Cable Stabilizes
According to the Wire And Cable – Q3 2020 Update, from CRU, London, UK, after months of crisis, weak demand and variable supply disruptions, global insulated metallic wire and cable consumption has started to stabilize and shows signs of bottoming out. Demand is again dominated by the recovery in China, which accounts for over 35% of total world cable demand and 91% of the net demand upgrade CRU has made between April and July. Cable demand in Europe and North America has also gradually improved as economies reopen. But in India, South America and Africa, the situation remains critical as the ongoing pandemic continues to impede economic activities. CRU’s in-house economics team forecasts world GDP and IP to contract 4.7% and 5.4% year-on-year, respectively in 2020, assuming that lockdowns across major economies will end in Q3, and there is no sizable second outbreak. This forecast implies the plunge in total world economy will be sharper than during the peak of the Global Financial Crisis (GFC) in 2009, while the downturn in industrial activities should be less severe. As such, CRU forecasts world insulated metallic wire and cable demand will decline by 5.3% year-on-year…