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Steel prices continue to fall despite increasing crude steel production in China

According to data from the China Iron and Steel Association, daily average crude steel production by major Chinese steelmakers increased by 3.63% in March. However, there was a 6.14% decrease compared to the same period last year, with production reaching approximately 2.12 million tons.

Steel prices continue to fall despite increasing crude steel production in China

Regarding stock levels, there was a slight 5.66% decrease from mid-March, but a 2.26% increase compared to the same period last year, reaching a total of approximately 18.42 million tons.

Throughout March, daily average crude steel production remained around 2.08 million tons, showing a 6.57% decrease compared to the previous year.

While crude steel production in China has increased on a monthly basis, it continues to decline annually. This trend is influenced by factors such as rising raw material prices and uncertainty in global demand.

Steel prices in China also continue to decline. According to Steel Radar's assessment, as of April 8th, the price of construction steel was recorded at 466.00 USD, showing a slight decrease. Similarly, hot-rolled coil prices fell to 519.00 USD, and steel plate prices continued their downward trend, dropping from 506.00 USD to 500.00 USD.

The future trajectory of crude steel production and steel prices in China will depend on developments in raw material prices, changes in global demand, and the measures the Chinese government takes to support the economy.

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