Steel price drops on China’s covid, emission led production curbs

Steel price remains pressured on early Tuesday, drowned by grim concerns surrounding the largest consumer China, as well as fears of economic slowdown due to the aggressive central bank actions.

That said, steel rebar prices on the Shanghai Futures Exchange (SFE) fell 3.1% while hot-rolled coil dropped 2.4%. Stainless steel lost 1.2% on a day by the press time.

Steel prices stretched losses after authorities in China's southern city of Shenzhen shut the world's largest electronics market of Huaqiangbei and suspended service at 24 subway stations on Monday in a bid to curb a COVID-19 outbreak reported Reuters.  Additionally, steel production control to curb emissions in China also dents demand for metal.