Posted on 17 Oct 2022
Daily crude steel output among member mills of China Iron & Steel Association (CISA) decreased further over October 1-10, down 1.1% or 23,700 tonnes/day in 10 days to average 2.11 million t/d, according to the association's new release on October 13.
The decline in CISA members' daily crude steel output during early October was chiefly due to the fact that more domestic electric-arc-furnace (EAF) producers had suspended production to conduct maintenance stoppages on their steelmaking facilities, given the persistent losses they were bearing, market sources shared.
Based on the performance of its member mills, CISA estimated the country's daily crude steel output at 2.82 million t/d in early October, or inching down 0.8% from September 21-30.
By October 10, finished steel stocks held by these member mills had reversed up by 2.7% or 434,000 tonnes from that on September 30 to 16.3 million tonnes, the CISA data found. And the total was also 27.1% higher than the same period last year, or soaring by 44.4% from that at the start of 2022.
CISA's new finding matched Mysteel's survey among 247 Chinese blast-furnace and 85 EAF makers it tracks regularly, which showed that their daily crude steel output down by 0.7% or 20,000 t/d from late September to average 2.89 million t/d for the first 10 days of October, as reported.
In early October, Chinese steel prices had slightly moved up, with the national price of HRB400E 20mm dia rebar for example, rising by Yuan 31/tonne ($4.3/t) from September 30 to Yuan 4,201/t including the 13% VAT as of October 10, according to Mysteel's assessment.
China's spot trading volume of construction steel comprising rebar, wire rod and bar-in-coil among 237 trading houses nationwide under Mysteel's survey averaged 169,346 t/d over October 8-10, down 35,369 t/d or 17.3% from the average of late September period. Chinese people celebrated the country's National Day holiday over October 1 to 7.
Source:Mysteel Global
