Global crude steel production in July rose 11.5% from a year earlier to 127.5 million mt despite an evident slowdown in output from record levels in the previous two months, World Steel Association figures showed Monday.

Output in January-July totaled 887 million mt, a gain of 8.3% year-on-year, the Brussels-based industry group said in a report.

The global steel capacity utilization ratio fell to 79.7% from June's 82.8% for the 64 countries reporting to the industry group. Compared with July 2010, the latest utilization ratio rose by 4.9 percentage points, it said.

Daily average output fell to 4.11 million mt in July, from June's 4.26 million mt -- the highest daily rate seen to date.

June's output was 127.7 million mt while May saw a record monthly total of 130 million mt.

In 2010, global crude steel output over the June to July period marked a 3.3% contraction to 114.4 million mt in July 2010, compared to the minor 0.16% slip this year.

"The numbers were surprisingly okay, when last year they spectacularly dropped between the two months," an investment bank analyst commented as the figures were released.

China's steel output grew 15.5% from July 2010 to 59.3 million mt, accounting for 46.5% of total global steel output last month. The previous month China produced 59.9 million mt.

Japan produced 9.1 million mt of crude steel in July, a decrease of 1.2% compared with the same month of 2010 and up from 8.9 million mt in June.

South Korea's output was 5.66 million mt, 21.7% up on July 2010 and compared to 5.67 million mt in June.

Steelmakers throughout Asia, including India and Taiwan, produced 82.2 million mt of crude steel in July, an increase of 13% year on year.

EUROPE, US OUTPUT MIXED

Crude steel production in the EU-27 increased 5.9% from a year earlier to 14.6 million mt in July, but trailed June's 15.7 million mt and May's 16.3 million mt total.

Germany led the group with 3.7 million mt, up 5.7% on the year, followed by Italy with an estimated 2.6 million mt, up 14.5%. Output in Spain was down 1.9% year-on-year to 975,000 mt, while France dropped 7% to 1.2 million mt.

Russian output showed year-on-year growth of 8.1% to 5.95 million mt in July, while Ukraine's crude steel output rose 10.3% to 2.73 million mt.

In the Americas, US steel output was up 10.2% in July to 7.46 million mt. Canada was down 1.5% at 1.22 million mt, and Brazil was up 8.2% to 3.1 million mt. Mexico led output growth in the region with a 26% jump to 1.74 million mt in July.

Worldsteel represents approximately 170 steelmakers worldwide that produce about 85% of the world's steel.