According to statistics from National Bureau of Statistics (NBS), China crude steel output in April was 92.64 million tons, a year-on-year decrease of 1.5%; the output of pig iron was 77.84 million tons, a year-on-year growth of 1%; and the output of steel products was 119.95 million tons, increasing by 5% year on year.
Last week, the domestic blast furnace operating rate slightly rebounded, while the electric furnace operating rate continued to decline. There has been a significant reduction in short-process production, but the reduction in long-process production is not significant. Steel transaction volume has shown a slight increase on a month-on-month basis, while steel inventory continued to decrease significantly, primarily in construction steel.
As of May 19, the SteelHome China Steel Price Index (SHCNSI) fell by 0.61% WoW to reach 99.55 points (4,306 yuan).
China’s HRC market prices stopped falling and rebounded in the week ended May 19, 2023.
By May 19 (Friday), the average price of 2.75mm Q235 HRC in 28 Chinese markets came to 3,981 yuan/t, up 23 yuan/t from the previous week; 5.75mm Q235 HRC was 3,889 yuan/t, up 24 yuan/t from the previous week. SteelHome believes that China’s HRC prices will drop slightly this week.
China’s CRC market prices decreased slightly in the week ended May 19, 2023.
By May 19 (Friday), the average price of 0.5mm CRC and 1.0mm SPCC CRC in 28 major Chinese steel markets in the week were 4,838 yuan/t and 4,592 yuan/t, down 7 yuan/t and down 9 yuan/t from the previous week.
SteelHome believes that China’s CRC market price will remain relatively flat this week.
Construction steel market prices rebounded in the week ended May 19, 2023. By May 19 (Friday), the average price of 8mm HPB300 high speed wire rod and 18-25mm HRB400 were 3,971 yuan/t and 3,748 yuan/t from last week, up 37 yuan/t and up 38 yuan/t from the previous week.
SteelHome believes that China’s construction steel prices will decline this week.
---Steelhome
