Release date:2014-10-15 Clicks:15 Font display:【Large】  【Medium】  【Small】

Chinese steel mills have responded to the decline in steel prices around the world by cutting export selling figures. The steelmakers have carefully targeted their response by making the largest decreases to those products which are in most demand.

Merchant bar is the most popular product for sale to export customers of the Chinese mills. The tonnage supplied into foreign markets increased by approximately 75 percent in the first seven months of this year. Export offers for October, are down by 4.5 percent.

A significant price reduction has been scheduled for wire rod exports. This is the second most popular product, sold into the global market by Chinese suppliers. So far this year, exports have increased by, in excess of 1.5 million tonnes, to clients around the world.

In the period, January to August 2014, Chinese exports to North America were more than double the tonnage despatched in the same time span in the previous year. The emphasis was on the flat products forms – particularly cold rolled and metal coated coil. Almost fourfold increases were recorded in the first seven months of this year compared with 2013.

Chinese supply to East and South East Asian customers continues to expand. Over half of the total tonnage exported by the mills is scheduled for delivery to customers in these regions. South Korea is the most popular destination, taking 24 percent of all Chinese rolled steel exports in the first seven months of this year – up from 18 percent in 2013.

Chinese steel shipments to the European Union were modest but have been expanding in recent months – encouraged by the competitively priced material. Since the beginning of this year, imports of Chinese material have increased substantially – mainly flat products but also wire rod and merchant bars.