However, there was a decrease of 48,900 tons, or 1.6% in the second week. The decline is attributed to maintenance work at some steel production facilities in Northeast China.During the same period, it was observed that logistics services continued to recover following the end of the Lantern Festival on February 24th, leading to many factories resuming hot rolled coil deliveries.
However, the changes in low production and fast delivery pace led to a decrease in stocks for the 37 surveyed factories. Within this week, stocks decreased by 2.3% to 963,900 tons as of February 29th, putting an end to the increases seen over the previous four weeks.
Meanwhile, stocks of flat products in commercial warehouses in 33 cities decreased to 3.4 million tons as of February 29th, with a slower weekly increase of 3.1%, indicating a gradual improvement in secondary market demand for hot rolled coils.
On the other hand, spot and futures prices for hot rolled coils in China have further declined. As of March 1st, the spot price for Q235 4.75 mm hot rolled coil, including VAT, stood at 4,038 yuan/ton (560.9$/ton).
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