Global steel majors navigate mixed market environment in Oct-Dec'25

• Major steelmakers report output and margin decline
  
  
• ArcelorMittal's crude steel production declined quarterly
  
  

Nippon Steel, JFE Holdings, ArcelorMittal, Hyundai Steel, and POSCO Holdings, major players in the global steel industry, have published their consolidated financial results for Q4CY'25 (Sep-Dec 2025). Notably, ArcelorMittal, POSCO Holdings and JFE Holdings reported a drop in crude steel production for the quarter.

Nippon Steel's non-consolidated crude steel production stood at 8.6 million tonnes (mnt) in Q3FY'25, edged up by 1% q-o-q as compared to 8.5 mnt in Q2FY'25. Moreover, the consolidated crude steel production of the company rose by 1.4% q-o-q to 13.68 mnt in Q3FY'25 from 13.48 mnt in previous quarter.

POSCO Holdings crude steel production in CY'25 is around 34.537 mnt , down by 2.4% y-o-y against 35.408 mnt in CY'24.

JFE Holdings quarterly non-consolidated crude steel output in Q3FY'25 stood at 5.32 mnt representing decline of 3.6% q-o-q against 5.52mnt in Q2FY'25. Furthermore, consolidated crude steel output in Q3FY'25 is around 5.59 mnt, down by 3.7% q-o-q as compared to 5.81 mnt in last quarter.

ArcelorMittal's crude steel production in Q4CY'25 stood at 12.8 mnt, representing a continuous quarterly drop of 6% q-o-q against 13.6 mnt in Q3CY'25. Moreover, in CY'25 crude steel production stayed to 55.6 mnt reflecting a drop of 3.9% from 57.9 mnt in CY'24.

Financial results, market overview

Nippon Steel's revenue for Q3FY'25 (Sep-Dec 2025) stood at JPY 2,620.6 billion, marginally increased by 0.2% q-o-q as compared to JPY 2,626.9 billion in Q2FY'25. In contrast, company's operating profit fell sharply by 81.1% y-o-y to JPY 107,051 million in 9 months of FY'25 (1 April to 31 Dec) from JPY 566,125 million in the same period of FY'24 (1 April to 31 Dec).

POSCO's operating profit in Q4CY'25 stood at KRW 337 billion, fell by 42.3% q-o-q as compared to KRW 585 billion in Q3CY'25. On a q-o-q basis, profits fell due to raw materials cost hikes and declines in production volume resulting from plant repairs.

JFE Holdings revenue in 9 months of FY'25 (Apr to Dec) marked as JPY 3,380.2 billion dropped by 8% from JPY 3,675.4 billion in the same 9 months period of CY'24.

The steel demand in market is still sluggish due to China's overproduction and increased exports and due to tariff impacts. Within the construction segment, constrained labor availability, escalating input costs, shipbuilding remains supported by strong order backlogs and tighter financing conditions are dampening project activity and subdued global economic growth.

Hyundai Steel's consolidated revenue for Q4CY'25 stood at KRW 5,490 billion, decreasing by KRW 244 billion or 4.2% q-o-q from KRW 5,734 billion in Q3CY'25. However, revenue increased by KRW 123 billion or 2.1%, compared to KRW 5,613 billion in the same quarter last year. Meanwhile, in CY'25 revenue resulted a drop of KRW 493 billion or 2.1% y-o-y from KRW 23,226 billion in CY'24 to KRW 22,733 billion. Operating profit has improved, supported by lower raw material costs, a higher share of value-added product sales, and ongoing cost optimization initiatives.

Consolidated profits also saw mild fluctuations, with operating profit recorded at KRW 43 billion in Q4CY'25, down KRW 50 billion q-o-q from KRW 93 billion in Q3CY'25, whereas in CY'25 it stood at KRW 219 billion, up by KRW 60 billion y-o-y from KRW 159 billion in CY'24.

Hyundai Steel's non-consolidated revenue for Q4CY'25 reached KRW 4,298 billion, registering a decline of KRW 235 billion or 5.1% q-o-q from KRW 4,533 billion in Q3CY'25. However, non-consolidated revenue for CY'25 stood at KRW 17,800 billion, the figure decreased by KRW 818 billion or 4.3%, compared to KRW 18,618 billion in CY'24.

Non-consolidated operating profit improved significantly, in CY'25 marked as KRW 89 billion, increased sharply by KRW 74 billion y-o-y from KRW 15 billion in CY'24. Leading to enhanced profitability by increasing sales of high value-added products and fostering the development of new demand streams.

ArcelorMittal's operating income for Q4CY'25 stood at $327 million, declining sharply by $217 million q-o-q from $544 million in Q3CY'25, operating income sharply fell by $202 million compared with $529 million in Q4CY'24. Similarly, in CY'25 it reached at $3,628 million increased by $318 million on a y-o-y basis from $3,310 in CY'24.

ArcelorMittal's CY'25 operating profit resulted declination in sales primarily driven by reduction in average steel selling prices. Performance was supported by mining expansion and strategic investments, while improved net income, stable margins, enhanced credit ratings, and disciplined capital returns reflect strengthened fundamentals and a structurally improved earnings base. Additionally, the quarter faced lower shipments and a clear reflection of decrease in sales can be seen.

Outlook

Based on the reported production declines, softer revenues and margin compression across major producers, we expect steelmakers to remain cautious in the near-term as weak steel demand, price pressures and cost volatility are likely to persist. While the Nippon steel's production edged up only by 1% for the quarter, meanwhile the financial environment is challenging, with revenue declines recorded by several players. Global steel markets are likely to remain subdued amid weak demand.