China’s crude steel production is expected to marginally drop to 981mn mt in 2020 from 988mn mt this year, according to government agency Metallurgical Industry Planning and Research. Pig iron production is expected to shrink to 775mn mt in 2020 from 800mn mt.
Steel demand in China is forecast to drop to 881mn mt in 2020 from 886mn mt in 2019. Demand rose by 7.3pc in 2019 attributed mainly to increased infrastructure spends and real estate development. China’s iron ore demand is likely to reach 1.22bn mt in 2020 from 1.26bn mt.