China's daily steel production rises in June

The increase in daily steel production at 318 Chinese steel mills, according to a regular survey by Mysteel, continued from mid-April from June 1 to 10, increasing another 21,900 tons per day, or 0.7% over the previous eleven days, to an average of 3.08 million tons. in a day. , according to the latest data released on June 11th. The average also hit a new all-time high since Mysteel first surveyed in January 2018.

The 318 plants surveyed include 247 blast furnace plants and 71 electric arc plants throughout China. The robust growth suggests that domestic steel mills continued to ramp up production in early June, despite their margins declining due to falling domestic finished steel prices.

As of June 10, China's national price for 20mm HRB400E rebar, which is a barometer of sentiment in the country's spot steel market, was estimated at 5,184 yuan /t ($ 811 /t), including 13% VAT, up 73 yuan /ton below this price. May 31, according to Mysteel.

End-user demand has started to slow as the rainy season approaches in South and East China and is still strong. Stocks of finished steel in traders' warehouses continued to decline, which gave domestic steel companies some confidence that production will be at a high level.

The total inventories of the five major steel products, including rebar, wire rod, hot rolled coil, cold rolled coil and steel sheet, in commercial warehouses in 132 cities across the country emptied another 0.5% weekly in the fifth week to 21.33 million tonnes per week. year. June 10, according to the latest weekly poll by Mysteel.