Compare the China steel and World Steel Situation

Data Shows that machinery industry will increase the amount of steel in China, along with China's economic recovery, China Steel industry will meet new chances. As we all known that the steel prices is able to be changed based on the different situation all over the world. According the July’s date, we can make a detail analytics about China steel market.

We know that in mid-August, Baosteel, Wuhan Iron and Steel and other steel mills raise September ex-factory price, August 20, Angang also will increase. Subsequently, Sha Steel, John Steel, transit, etc. is also full price, price increase of 30 yuan / ton. Steel price increases, indicating that orders started to improve, post-basic needs can be expected.

Perhaps because the reasons for the steel price increases, perhaps because of the post-market is very promising, steel trading business stocking also particularly active. According to statistics, last week's total inventory of steel community down 0.3 percent to 14.79 million tons, 6.207 million tons threaded stock fell 0.4% the previous week, down 1.5%; wire 1,379,000 tons increased 1.0% in the previous week, down 6.5%; rolled 4115000 t drop 1.3 percent, down 0.1 percent the previous week; cold 1,608,000 tons increased by 0.2%, down 1.8 percent the previous week; plate 1,481,000 tons increased by 1.3%, increasing 0.8% the previous week. Last week, the total amount of steel stocks fell significantly narrowed, which surprised us, which shows in order to prepare gold nine, steel trade has started stocking mode again.

Of course, there are some hot steel product, like angle iron, square tube, steel coil, H beam, ERW pipe, etc, their prices has a certain improvement. Sometimes, it is so key for us to get enough information about steel state in the world, which will help us make a wise decision, if you greatly need some steel, in my opinions, you can check the famous website-----SteelFromChina, which can provide you all kinds of latest steel news.

International Iron and Steel Association statistics show that in July 2013, the world's 64 major steel-producing countries and regions in crude steel production was 132 million tons, an increase of 2.7%, compared with 2011 growth of 3.9%.

July 27 EU crude steel production was 13.41 million tons, down 6% compared to 2011 decreased by 10.5%; CIS crude steel production was 9.15 million tons, down 0.2%, down 1.4% compared with 2011; North American crude steel production was 10.02 million tons, an increase of 0.1%, down 0.8% compared with 2011; South American crude steel production was 403 million tons, an increase of 2.7% compared to 2011 decreased by 5.5%; Asian crude steel production was 89.09 million tons, up an increase of 4.9%, compared with 2011 growth of 8.4%.

Therefore, it is possible for steel industry to get a little effective progress in Prices by the development of world economy. Like the professional steel site----SteelFromChina, which can find the latest steel prices information from China, via comparing the steel prices, we can find some rules about different steel products, like ERW pipe, steel Channel, angle iron, steel pipe, Galvanized steel, etc, Basing on these data, we can choose the best steel suppliers for us.

Some Factors Affecting China Steel Prices

Via the some changes of China steel market, we can find some key factors affecting China steel prices. We all know that it is so important get the latest news about steel prices, if we want to get the most proper steel with best prices, and the following information will tell you some detailed content about some factors affecting China steel prices, to help me make better choice to buy China steel!

One is the leading steel price increases based. With the steel into the callback week, the domestic construction steel factory prices were mixed. Ezion-priced East Sha Steel, transit, as well as on the North China Hebei Steel prices continue to rise in early August 30-80 yuan / ton, close to the market price of the East, North, South part of the steel is slightly reduced prices . In July the overall sharp rise in steel prices, steel price increases and relatively mild steel trading business has a certain profit margins, improved ordering enthusiasm. July and August combined steel export contracts are still relatively full, not much pressure steel contract organizations, firmer confidence in the market outlook.

The second is the raw material prices fell slightly. According to monitoring data show that as of August 2, Tangshan Carbon billet prices for 3080 yuan / ton, down from Friday 30 yuan / ton; Jiangsu Province scrap price is 2460 yuan / ton, five price unchanged; Shanxi coke price of 1100 yuan / ton, unchanged from Friday; Tangshan area 66% tastes dry iron ore price 1060 yuan / ton, down from Friday 10 yuan / ton. At the same time, 62% grade iron ore Platts index for 129.75 U.S. dollars / ton, Zhou chain fell 1.75 U.S. dollars / ton.

The third is the steel stocks have been lower than earlier levels. Data show that as of August 2, the major domestic varieties of steel stocks totaled 15,147,400 tons, weekly chain lighten up rate of 0.83%, while inventories last week, the rate of decline has slowed down significantly, this also with the current hot and rainy, building construction delay the manufacturing sector increased for the summer break. But it is worth noting that, in the context of a new high yield, current inventory levels have been slightly lower than last year's level, indicating that the release of this year's relatively strong overall demand.

Above all, if we want to get the newest information about China steel suppliers and China steel prices, we should collect as much as data, to compare and analytics, and we can make a wiser decision! Certainly, via our survey, we can share the latest China steel prices information on unique site, which is SteelFromChina, it has been running steel exported business for 5 years, and has got lots of honest customers all over the world. For SteelFromChina, all kinds of steel can be provided, like Galvanized Steel Coil, Galvanized Steel, steel section, steel tube, rectangular tube, seamless pipe, square tube, circular tube, angle iron, flat bar, H beam, etc. Of course, the quality of steel can be guaranteed! 

Chinese Steel Prices

Recently, the National Bureau of Statistics released the first half of the main indicators of economic data show that the first quarter GDP growth of 7.7% in the second quarter GDP growth of 7.5% in the first half growth rate of 7.6%. After the data release, triggering a stock market sharply higher, China steel prices have been rising trend, thus boosting the steel market activity. Construction steel, hot-rolled coil, cold rolled coil, plate and other steel prices rise.

June economic data has basically been out over, from a series of economic data, is still dominated by weak economic data is a period of time to the response of China's economic trends, weakening the data directly demonstrate China's economic growth is still slowing, while the downstream industry if it continues to weaken, then the demand for steel will also be difficult to release January-June of fixed asset investment continued to decline, with the lowest growth rate unchanged in 10 years, which indicates that China's economy has been facing greater pressure , and 7-8 months, the steel industry or always return season.

1-6 months of new projects with the previous month, thus, showing little change in the downstream industry this month, mainly with local remained "no stimulus" policies, although on June whether manufacturing or automotive industries, data have come down, but the outdoor new projects to maintain balance, which for the steel city, it has been regarded as a positive. However, the total investment of decline, it may affect the progress of these projects, the demand for steel has certain constraints.

For the steel industry, in June economic data remains weak, whether fixed asset investment, or GDP or export data, the trend has continued to decline, facing downstream industry downturn, it seems that China's steel industry is too optimistic. Because the latest data show that in June China's crude steel output of 64.66 million tons, an increase of 4.6%; monthly average daily crude steel production was 2.155 million tons, a decline of 0.3%, the fourth consecutive monthly decline, but still historically high. January-June total crude steel production was 389.87 million tons, an increase of 7.4% in the first half average daily crude steel production was 2.154 million tons, this level estimates annual crude steel production is expected to reach 786 million tons. Regardless of how the downstream industry, China's steel production will have a higher than normal interest, which is still weak economic data is concerned, it is not optimistic.

In general, the Chinese Steel prices can be easily affected by demotic policy, according to the latest date shows, China steel prices will get some rising in the next month. Like Galvanized steel, steel coil, angle iron, steel pipe, seamless pipe, etc, certainly, for square tube, because of the demand of market is bigger, its requirement is much bigger. 

Compare trends of Thailand Steel with China Steel

Via the current state of China steel, it can show, over the past 2-3 years, compared with the world market, Thailand's steel industry seems to render the situation contrarian growth, mainly due to domestic factors gained support, such as private and public construction projects to increase growth and Apartment Property. In addition, the use of steel as the main raw material industry good momentum of growth also provided some support, such as automobiles and parts industry.

First half of 2013, including domestic consumption and export growth, including the Thai steel industry situation is good, in the first four months of data show that steel consumption reached 6.53 million tons, an increase of 22.6% over the same period in 2012, growth accelerated to 9.0% , mainly due to the beginning of this year due to automobile manufacturing steel consumption increased significantly over last year and growing fast. Steel exports but also to achieve growth in 2013 January-April exports of steel and steel products valued at 81.496 billion baht, an increase of 3.4% from the same period last year accelerated to 61.9%.

For the second half of this year, domestic steel demand is mainly gained increasing support construction projects, especially in low-rise and high-rise residential real estate construction and government infrastructure projects. At the same time, pulling power from the car industry or weaken over the first half, the first car under the scheme due to non-delivery of the new car has been delivered to be completed. Dragged down by the automotive industry factors, steel consumption is likely to decline in the second half of this year, because in 2012 the first car in the second half of the automotive industry plan to stimulate the formation of high base effect. However, the research center is expected in 2013 KAITAI annual steel consumption in Thailand up to 1724-1786 tons, an increase of 3.75% -7.50%, compared with 12.2% in 2012, growth slowed.

In Thailand exports of steel and steel products, rest of the year from Australia to Thailand to cancel anti-dumping measures for steel products to get additional support, coupled with development projects in ASEAN countries, especially the construction of infrastructure increases, will lead Thailand to the above two an increase in the market value of steel exports. As the overall trading partner of Thailand's construction industry is in a growth phase, Kai Tai Research Center, believes the situation is Thailand's exports of iron and steel products to increase the value of the opportunity, the annual export value is expected to reach 2,505-2,660 billion baht, an increase of referrals at 13% -20%, although slower than last year's 43.6 percent, but still high growth.

There are some special steel products which have different prices between Thailand and China, however, as usual, like galvanized steel, galvalume steel, steel pipe, steel sections, square tube, rectangular tube, circular tube, etc, has a little more proper prices, therefore, you can choose them according to your requirement.

The reasons of instability of steel prices

According to a recent market, the domestic steel market seems to have stabilized obvious signs of stabilization, the futures market has significantly improved, and the main reason is the estimated manufacturing PMI rebounded slightly, since the market bottomed steel plate two days phenomenon particularly evident. But even so, the downstream demand procurement still showed no obvious change, supply and demand pressures did not alleviate the Steel City, Steel City twist condition is not strong, so businesses are not optimistic attitude.

Steel market has been the downstream demand is flat light, season so, not to mention soon to enter the off-season. So, steel prices have been weaker, until recent date steel higher price very obvious mainstream city, the surrounding cities to follow suit to pull up, the market volume have rebounded, but this is only short-term stimulus act, end demand does not appear substantially upgraded .

In addition there was no substantial change for the better demand than the supply pressure, the Steel City is also no signs of improvement. Steel production enthusiasm is still high, from mid-May crude steel production statistics, the national average daily production of 2,185,400 tons of crude steel, the chain fell 0.35 percent in early May, but still living in historic times high. The May PMI index also showed iron steel industry production index for the month was 49.0 percent, up 4.1 percentage points rise. New orders index rebounded, which makes steel production activities are very active.

In addition, there is a very important factor, that is, raw materials market continued to decline. It is understood that this year, the iron ore market has been in a downward trend, steel procurement initiative suffered a heavy blow, there are also many mills intent to purchase select the sidelines, a further blow to market confidence. Platts index, the S & P futures rose 0.75 yesterday, is now 62% of Australian fine exponent $ 116.75 / ton. Tender price surge in imported ore mines significantly boost market confidence, so long since considered the iron ore market finally has a slight color, the market is bullish atmosphere is also strong, but now the price is still at a relatively low level, while the cost respects with the trend of steel prices have great relevance, raw material prices go up, which seriously hampered the cost steel prices upward, so as long as the market is still so raw materials decline, and that business confidence in the latter part of the Steel City will be significantly inadequate.

Generally speaking, the steel prices is affected by several different factors, as long as analytic the demand of all kinds of demand, we can make the wise decision about the future steel prices trend. In order to get latest prices of steel, like angle iron, hot rolled coil, galvanized steel, steel plate, H Beam, steel sheet, it is necessary for us to make a deep survey in China steel market.

Latest China of steel prices trend

May the domestic construction steel prices market shocks, slightly down trend, domestic building materials prices rose and then fell, although some businesses eager to pull up, but the actual volume does not follow suit, there is no significant change in the overall market price. Due to the recent arrival of small local markets, the declining trend in the overall stock market. From key markets in Beijing, Shanghai and other places to price movements, basically are in a slight concussion running in the market, no significant increase in purchases in the case, the market is difficult to have better opportunities.

From the overall market trend, the domestic construction steel market in May than in April a slight decline. As of May 27, the domestic 25mm rebar price in 3555 yuan / ton, late last month down 56 yuan / ton; including Beijing 25mm price of 3520 yuan / ton, late last month fell 10 yuan / ton; Shanghai 18 - 25mm price of 3380 yuan / ton, late last month fell 100 yuan / ton; Guangzhou 18-25mm price of 3670 yuan / ton, late last month rose 20 yuan / ton; domestic 6.5mm high speed wire price in 3608 yuan / ton, late last month fell 37 yuan / ton, Beijing 6.5mm high speed wire prices in 3540 yuan / ton, unchanged from last month, Shanghai 6.5mm high speed wire price is 3390 yuan / ton, late last month fell 30 yuan / ton, Guangzhou price 3700 yuan / ton, late last month fell 10 yuan / ton.

According to the China Iron and Steel Industry Association, the latest data show that its member companies in early May crude steel output to 1.748 million tons, an increase of 2.71% mid-chain, the national estimate is 2,192,900 tons, an increase of 3.02% mid-chain. National crude steel output hit a late degrees with high caliber and less Bureau of Statistics announced in April the national crude steel output (2.188 million tons) high 05,000 tons, or 0.23 percent. In early May the national crude steel output rose a new direction since the second quarter of blast furnace production gradually into a relationship on track, but also with steel mills to increase production costs for the dilution of efforts related. In the absence of significant positive macro-policy side and demand-side effects of the rainy season by Southern backdrop, the high crude steel output will continue to put pressure on the market.

With the advent of June, most of the country all will enter the hot and rainy season, outdoor construction progress of the project will be greatly hindered, the steel city will officially usher in the season, coupled with the originally scheduled to be held in March about working conference on cities and towns because the reasons for planning a push again, the terminal needs significant volume expectations are not high, the market mentality and many more cautious bearish based, and although the national building social stock consecutive ten weeks continued to decline, but still compared to the same requirements relatively high, it is expected that the market "to the inventory, lower risk," will remain a major operation, building materials prices will continue to run in the bottom of the stage.

In summary, due to the recent bad policy side still prevail, and the market supply and demand is still there, the cost of late also continue to support efforts to weaken possible, coupled with volatile international economic situation, the risk of financial market volatility is still large , is expected in June domestic construction steel market prices will remain within a narrow range downward trend run, like Galvanized steel, galvalume steel, ERW Pipe, Galvanized angle iron, Prepainted Steel, etc, will keep stable stake.

China Steel Market in Summer

Years later date, the decline in steel prices and off, add up close to a few months, the traditional peak season is not a surprise to the steel trading business, let alone immediately into the steel off-season, but also expect steel prices to have much pick up? According to the monitoring, as of the closing of the 19th, Beijing markets River steel two big spiral price of 3530 yuan / ton, unchanged from the previous day; Shanghai market Zhongtian two big spiral of 3490-3530 yuan / ton, compared with the previous was unchanged; Guangzhou market GISE, two big spiral 3630 yuan / ton, unchanged from the previous day. Shanghai market hot rolled closing price of 3530-3560 yuan / ton, unchanged from the previous day; the Tianjin market hot rolled closing price of 3460-3490 yuan / ton, compared with the previous day maintenance of stability; music hot rolled coil from the market closing price of 3610 - 3620 yuan / ton, compared with the previous day's low reduced.

Only a week last week, domestic steel prices fell 1.33% for the biggest weekly decline in two months, the steel futures continue to decline, a high level of crude steel production in the steel market supply and demand contradictions No mitigation background, steel trading business operation is still main dynasties library. According to statistics, the total inventory of steel community last week, down 3.3% to 19.064 million tons, threaded stock down 4.4% from 8.744 million tons, down 2.7% in the previous week; wire down 3.8% from 2.493 million tons, down 2.3% in the previous week; hot-rolled 4724000 ton, down 2.0%, by 0.002% in the previous week; cold-rolled down 0.9% from 1.631 million tons, down 0.1% in the previous week; plate down 3.0% from 1.473 million tons, down 1.3% in the previous week. At present, the intensified financial market volatility, market pessimistic attitude, brokers price to take the goods, it is estimated that the bottom of the market state can only continue.

However, recently about the steel part of the iron ore cargo to take back the market to sell the phenomenon is on the rise, which also increased the expected market indirectly cut steel, the steel industry back to the sale of iron ore, Leaving aside this group goods can not be sold in a timely manner, since the steel mills to sell out, it means that steel mills have decided not to the shipment into production, sold out, will increase the supply pressure of the iron ore market, resulting in mine further decline in price; sell, steel mills will they stagnation in the market, will not be used for production, so the speculation mills took the opportunity to have a willingness to cut is possible, but the amount of the cut would have little, it is difficult to say, it depends how poor steel market outlook is expected.

Although, the steel prices of China is in the lowest level this year, following the rising of economic development, the demand of all kinds of steel will be uplifted, like galvanized steel, ERW pipe, Steel coil, galvalume steel, Flat Bar, galvanized angle iron, etc. I do believe that China Steel enterprises must conquer this difficult age, and accomplish their goal of this year in 2013.