In March, Spain's crude steel production decreased by 17% year on year to about 982,000 tons. Spain was the fourth biggest steel producing country in Europe. The country's maximum production capacity is close to 23 million tons.

In March, Spanish electricity prices hit a record low, but the country's steel industry struggles to compete with its European counterparts. Spain's energy supply cost per megawatt hour remains 142% higher than France's and 78% higher than Germany's.

Alongside high electricity prices, the industry faces supply-side challenges, including ongoing strikes at Acerinox's Los Barrios plant, with an annual capacity of 1 million tons. Also, Sidenor Steel initiated a one-year temporary layoff plan from April 15, triggering protests over alleged breaches of the collective contract.