Steel production in China is growing steadily

China's steel production rose steadily through November, up 5.5% year-on-year to 961 million tonnes in January-November, or the same amount as in the first ten months, according to the country's latest report from the country's National Bureau of Statistics. (NBS). ) On December 15, and for the whole of 2019 it lacked only 35 million tons of tonnage.

In November alone, crude steel production in the country was 87.7 million tonnes, down 4.9% MoM, but still up 8% YoY, while YoY growth fell 4 , 7 percentage points compared to October.

The country's daily crude steel production fell to a five-month low in November or from the previous month in the second month by 1.8% to 2.92 million tonnes per day, Mysteel Global calculated based on NBS data.

The decrease in steel production last month compared to the previous month is mainly due to the increase in the number of repairs at Chinese steel mills at their steel plants, as well as frequent but short-term restrictions on pig iron and steel production in some regions of China, especially in the northern part during the winter months. on days of poor air quality.

Thus, the production of finished steel in China in November showed a similar trend, increasing by 10.8% compared to the same period last year, but decreasing by 1% compared to the previous month to 117 million tons, and in the first eleven months 2020, finished steel production in the country increased to 1.2 billion tons. , or 7% more than a year earlier, according to NBS.

However, through November, steelmakers in China maintained relatively high production levels due to profitability of steel and higher-than-expected demand, especially for flat products both domestically and abroad, Mysteel Global notes.

In November, domestic steel prices in China for both long and flat steel increased from the previous month, with the national price of HRB 400 rebar 20mm diameter rising 256 yuan /tonne ($ 39 /tonne) in the month to 4,076 yuan per tonne on average, and that's 4.75mm HRC Q235 rose 126 yuan per tonne per month to 4052 yuan per tonne per month, including 13% VAT