China's construction steel to show moderate recovery in Sep
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Update time : 2024-09-05 15:45:39
In August, China's construction steel prices began to stabilize after a prolonged decline. Early in the month, prices fell to a seven-year low due to various factors. However, by late August, improved supply-demand conditions helped steel prices rebound moderately, with rebar prices in major cities showing slight increases by the month's end, signaling a recovery in market sentiment.
In August, steel mill operation rates dropped significantly, with rebar and wire rod production hitting their lowest levels in recent years. Weekly rebar output fell to just around 1.62 million tons. Voluntary production cuts helped ease supply pressures but led to sharp output declines in certain regions. Both mill and social inventories saw notable reductions as old standard rebar stocks were rapidly consumed, further easing future supply pressures.
Looking ahead, construction steel prices may rise slightly in September as seasonal demand picks up. However, uncertainties around demand recovery could cause fluctuations in the market.
