After suffering the first annual decline in over five years, the steel industry is expected to experience a quick rebound in 2016, despite the historical lows that China steel production is currently facing. The decrease in China’s production is expected to be mainly offset by a renewed expansion in the European and North American industry.

While the production is expected to edge up a notch, the conditions for steel is expected to remain as harsh as previously expected. The supply glut from years of overproduction coupled with diminished demand has led to bottom line steel prices.

The ongoing critical state of steel is expected by many to result in a number of companies declaring bankruptcy over the coming year, and various countries implementing protectionist measures as well.