China’s daily steel production maintained its steady pace in mid-October rising by 0.14pc from early-October and up by 11.24pc from the prior-year period, according to China Iron and Steel Association (CISA) data. Steel products output of key steelmaker rose by 1.91pc in mid-September from the prior 10-day period and rose by 10.21pc from the prior-year period, but down by 2.30pc from early-October.
|China’s average daily output in mid-Oct (mt)|
CISA compiles production data from around a hundred statistically significant steel producers across China. According to CISA estimates, total crude steel production by steelmakers in mid-October is 30.291mn mt at a daily average output of 3.029mn mt up 1.37pc from early-October and up 14.8pc from the prior year period. China’s steel products output is forecast at 38.08mn mt, with a daily average of 3.808mn mt up 1.77pc from the prior period and 17.23pc from prior year period. Pig iron output is forecast at 24.87mn mt with average daily production up by 1.44pc from early-October and up by 14.77pc from prior year.
Key Chinese steelmakers produced 43.436mn mt of crude steel, 41.133mn mt of steel and 38.502mn mt of pig iron in the first two week of October, according to CISA data. In the first two weeks, crude steel production rose by 13.04pc from the prior-year period and steel product output was up by 12.30pc.
Steel products inventories at key producers in mid-October stood at 13.689mn mt, up by 96,600mt or 0.71pc from early-October and up 43.61pc or 4.157mn mt compared to the beginning of the year.
China’s Ministry of Ecology and Environment (MEE) has asked steel companies to cut production and reduce excess capacity to curb air pollution along the Yangtze River Delta which includes the Anhui, Jiangsu and Zhejiang provinces during the autumn and winter season of 2020-2021.