Energy crisis affected 5 major commodity industries in global economy

The energy crisis has put the five main commodity sectors in the global economy under severe pressure, Report informs referring to Bloomberg.

Manufacturers of industrial and green metals, as well as steel, fertilizers and sugar, are forced to reduce production costs. In addition, manufacturers of materials for electric vehicle batteries and solar energy production are experiencing difficulties.

The energy crisis has affected zinc smelting. Moreover, Europe lost about half of its capacities in this industry in a year. Steel production also declined. For example, a drought-related power outage in China's Sichuan province caused more than 70% of steel mills to shut down or severely reduce production.

Fertilizer producers in Europe lost up to a quarter of their capacities. Moreover, in 2023, according to forecasts, the decline will reach the indicators of the 2008 crisis. Analysts also considered that food prices in the world will rise due to the increase in the cost of sugar.