Rising Demand Drives Increased Activity at Steel Tube Plant in Germany

Introduction

The Benteler Steel Tube Lingen plant in Lower Saxony, Germany, owned by Benteler International AG, has an annual production capacity of 650,000 tons, focused on electric steel tubes and billets for the automotive and building sectors. Recent activity changes have prompted key market insights, with implications for steel supply and pricing dynamics in the region.

Activity Trends Over Time

Recent satellite data indicates a notable shift in the operational activity of the plant’s Electric Arc Furnace (EAF_1), influencing supply signals for the market.

The observations reveal that activity peaked at 65% in November 2024, followed by a modest decrease to 63% in January 2025. By February and March, operational levels remained stable at 58%, with a resurgence to 64% in April 2025. This fluctuation indicates an adjustment period where the plant is responding to both supply dynamics and market demand.

Implications for Steel Buyers and Market Analysts

The increase in activity at the Benteler plant comes amid broader market trends, as noted in recent reports. For instance, German steel sales rose 5.6% in March, suggesting increased demand amidst falling inventories, which remains relevant for supply chain considerations. The regional landscape is marked by a significant production adjustment, particularly in the German market where production has decreased by 11.7%, while hot-rolled coil prices have seen an upward trend due to strategic reductions in output.

For steel buyers, this operational uptick at the Benteler plant could signal a tightening supply amid rising demand, particularly in automotive and construction sectors. Analysts should monitor these activity trends closely, as fluctuations in operational efficiency may lead to potential bottlenecks that affect product availability and pricing strategies moving forward.