ArcelorMittal: Steel sector to face great future

The economic downturn, the worst after World War II, would still continue this year, but its end would soon come, said Mike Rippey, president and CEO, ArcelorMittal USA. "There''s a great future for the steel industry and manufacturing companies in the U.S.," he added. Rippey noted that the economic distress in the world and low steel demand were caused by many factors like low car sales and production, housing starts, commercial construction and manufacturing investment. The unemployment rate is pegged at more than 8% and could reach 10% before easing. He said the automobile industry, which covers a big percentage of the local steel market, is a major factor in the on-going steel crisis that has pushed U.S. steel production into the 40% range from 90% rate in August 2008. "There are a shrinking number of cars on the road. I don''t think that''s sustainable, which eventually will pump demand," he added. "Although it''s difficult, the steel industry will be getting through it without the bankruptcies that happened during other downturns," Rippey claimed.Zoom Kobe XI ZK11