Posted on 08 Sep 2021
Rebar production among the 137 Chinese steel producers under Mysteel’s tracking including integrated mills and re-rollers increased for the fourth consecutive week over August 26-September 1, rising by 2.2% or 72,100 tonnes on week to reach 3.35 million tonnes, according to the weekly survey.
Nonetheless, the week’s performance was in stark contrast to rebar output during the corresponding period last year when production averaged 3.82 million tonnes/week, according to Mysteel’s data.
During the week, both rebar rolling capacity utilization and the operational rate among the surveyed producers showed on-week rises, with the former gaining by 1.6 percentage points on week to 73.4%, while the latter edged up by 0.7 percentage point on week to 64.9%, also according to Mysteel’s surveys.
China’s national price of HRB400E 20mm dia rebar, a key indicator of the country’s spot steel market sentiment, increased for the second week according to Mysteel’s assessment, gaining Yuan 87/tonne ($13.5/t) on week to Yuan 5,357/t and including the 13% VAT as of September 3.
The daily trading volume of construction steel comprising rebar, wire rod and bar-in-coil among China’s 237 steel traders also grew for the second week over August 30-September 3, rising by 23,932 tonnes/day or 12.4% on week to an average of 217,522 t/d, according to Mysteel’s tracking.
Rebar inventories at the 137 steel mills under Mysteel’s monitoring reversed up by 2.2% or 71,800 tonnes on week to 3.4 million tonnes as of September 1. North China’s Shanxi and Southeast China’s Fujian contributed most of the growth in stocks.
Meanwhile, the tonnage at commercial warehouses in the 35 Chinese cities that Mysteel monitors declined further and at a faster pace, falling by 1.6% or 123,800 tonnes on week to 7.76 million tonnes as of September 2. Inventory levels at warehouses in East China experienced the largest decline, falling by 120,200 tonnes on week.
Table 1: Rebar Production Survey by Region by Sept 1
Table 2: Wire Rod Production Survey by Region by Sept 1
Table 3: Rebar Production Survey by Process by Sept 1
Table 4: Wire Rod Production Survey by Process by Sept 1
Table 5: Mills' Rebar and Wire Rod Stocks by Region by Sept 1
Table 6: Rebar and Wire Rod Stocks Survey by Process by Sept 1
Source:Mysteel Global
