Innovation has helped Europe's steel industry survive - Commission
New technologies and production processes have played a key role in preventing the European steel industry's demise after various crises in the 1970s and 1980s, according to the European Commission in its recently published 2001 Forward programme for steel. Europe's steel industry should enjoy continuing stability this year, helped by both the new techniques and privatisation and cross border mergers. 'The Community steel industry should continue to benefit, at least in the short run, from sustained domestic steel demand and good export prospects, although European steelmakers face strong international competition in the global market place,' says the Commission It urges operators not to become complacent: 'The Commission urges operators not to ignore the risks of a possible reappearance of phenomena that could destabilise the balance of the Community steel market, which adversely affected steel industry employment and performance in the past.' The European steel industry grew by 3 per cent in 2000. It now employs some 270,000 people, compared with 500,000 20 years ago and accounts for 20 per cent of the world market.