China mills crank up Jan-Feb crude steel output by 13% on firm demand outlook

China produced 174.99 million tonnes of crude steel in January and February, National Bureau of Statistics (NBS) data showed on Monday. The bureau combined data for the first two months of the year to account for the distortions of the week-long Lunar New Year holiday.

Average daily output stood at 2.97 million tonnes, up from 2.94 million tonnes in December and compared with a daily average of 2.58 million tonnes in Jan-Feb, 2020, according to Reuters calculations.

China’s mammoth steel market has expected construction and fast-recovering manufacturing to support consumption this year.

Investment in China’s infrastructure projects and real estate market surged 36.6% and 38.3%, respectively, in the first two months, the NBS said in a separate statement on Monday.

And China’s manufacturing sector investment picked up rapidly after being hit by the coronavirus pandemic to soar 37.3% in Jan-Feb from the same months in 2020.