Last week, domestic hot-rolled coil market prices continued to decline slightly. In major regions, prices dropped by 10-40 RMB/ton in East China, 20-50 RMB/ton in Central and South China, 10-70 RMB/ton in North and Northeast China, with a slight weakening in the Southwest and minor declines in the Northwest.

As of last Friday, the average prices of 2.75mm and 5.75mm hot-rolled coils in 28 major cities nationwide were 3913 RMB/ton and 3821 RMB/ton, respectively, down by 27 RMB/ton from the previous weekend.

According to SteelHome's survey, hot-rolled coil inventory last week was 4.26 million tons, an increase of 30,000 tons from the previous survey period, with an average daily trading volume of 19,400 tons, a decrease of 1.1% from the previous period and a year-on-year decrease of 5.9%. Weak downstream demand remains the primary factor constraining current steel prices.

The clear energy-saving and carbon reduction plan, along with the continued implementation of crude steel output controls this year, may stabilize and rebound market prices if production restrictions are implemented.

It is expected that domestic hot-rolled coil market prices will stabilize and rebound this week.