Economic sentiment appears to have reached a floor and given the low inventories, particularly in Europe, as soon as real demand begins to gradually improve, apparent demand is expected to rebound, it said in a statement. The steel industry has been suffering from weaker construction activity in Europe and problems in the real estate sector in China, the world's top consumer and producer of the metal. Steel demand in Europe, which has been challenged by high inflation and tighter monetary policy, is expected to show very modest growth this year before a 5.3% projected gain in 2025, the World Steel Association said last month .