According to SteelRadar's assessment, China HRC prices fell sharply from $532 USD on March 25th to $509 USD on April 2nd.
The decline is attributed to weak demand particularly from troubled real estate and infrastructure sectors. Buyers are adopting a cautious approach, purchasing only as much product as they urgently need. This has resulted in a slight increase in HRC stocks in commercial warehouses across China.
On the other hand, some steel producers have resumed production after completing maintenance shutdowns, leading to a slight increase in HRC production. This has caused a decrease in HRC stocks held by producers.
The sector is struggling to balance production with weakening demand. While some producers are restarting production, others are calling for production restrictions to stabilize prices. This highlights the challenges faced by China's steel sector during a period of weak demand.
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