Experts predict that China’s steel exports will slow the pace of recovery or

       According to the General Administration of Customs recently announced Express data show that in July China’s steel bars exports 4.44 million tons, compared with the previous month increased by 15 million tons, an increase of 3.5% last month, picked up again after a larger drop; fell 2.42% year on year, down 21.34 percentage points.January to July, China’s total exports of steel 28.77 million tons, an increase of 2.3%.At the same time, export prices maintained an upward trend is still in July China’s steel export price to $ 1,092 on average, compared to last year rose $ 23.81, which has to a certain extent, stimulated the growth of steel exports.
       With the bottoming out of the international market and domestic market began to show up to support efforts to strengthen the market turmoil in July China’s steel exports since the end of March for three consecutive months of decline since the trend.However, there are two negative factors will constrain the pace of recovery in exports.First, the RMB against the U.S. dollar’s rapid appreciation, rapid short-term raise export prices, weakening China’s steel products in the export market competitiveness; Second, the recent international market, the increased incidence of anti-dumping of steel, although the countries have not introduced specific measures, but the short-termwill affect the steel mills and export trading mentality, resulting in the orders become more cautious.
        Exchange rate changes frequently undermine export competitiveness.Recently, especially in the month of August, subject to a number of factors influence the pace of yuan appreciation has accelerated.Month of RMB against the U.S. dollar trot, Crack number of checkpoints, in one fell swoop into the “6.3” era.From the China Foreign Exchange Trade Center’s latest data show that, as of August 18, the central parity of RMB against the U.S. dollar reported 6.3942, higher than the previous trading day 54 basis points.Affected by the recent steel exports also quickly pulled up the offer.If a trader at the exchange rate pre-orders for the 6.45, and the recent exchange rate adjusted to 6.38, resulting in its offer within a few days refers to the increase of 10-15 dollars.The same is true of steel, such as sand steel tinplate export offer the latest in September, boron thermal volumes 695-700 U.S. dollars FOB, up from August 10 to 15 dollars; September Laiwu latest offer (FOB price), thread 760-770 U.S. dollars, U.S. $ 710 hot rolled, plate 715-720 dollars, cold roll 770 dollars, a large steel 800-820 dollars, a small steel 770 U.S. dollars, up $ 20 overall last month or so.It is reported that price increases after the orders is not satisfactory, the user purchases will be reduced.
        Trade protection increased frequency of anti-dumping incident.European Union is currently on steel from China, Russia and Turkey may lead to imports of hot rolled anti-dumping investigation, adding that, from these three countries have a large number of imported hot rolled steel to the local damage.As China’s steel sold in South Korea caused a lot of local concern, in order to reduce the burden on South Korean steel mills, the ROK proposed to discuss the new program, or cancel to Korea’s steel export tax rebate.Taiwan’s China Steel has warned, may be imported plate, cold-rolled electrical steel sheet volumes and antidumping, involving countries including Korea, Japan, China and India.Thai Ministry of Commerce recently announced the launch of anti-dumping investigations, which involve the steel industry from China, Korea and China Taiwan and other places of cold roll and galvanized, aluminum plate and boron in the domestic hot rolls.June 24, should Indonesia PTKrakatauSteel (Persero) Tbk’s application, Indonesia anti-dumping committee originating in Japan, Korea, China, China Taiwan and Vietnam cold rolled coils anti-dumping investigation.Russian Steel Association news release, the association is considering to submit to the Russian Federal Customs Authority to implement protection of coated steel application possibilities.
          Unfavorable factors in the short term impact is difficult to eliminate, it is expected China’s steel channel angles exports will slow the pace of recovery or.According to Ben Wang latest statistics show that in August, China’s 17 major plans to export hot rolled steel capacity of 173,000 tons, down 50,000 tons, the chain fell 12.5 percent, down more significantly, to a certain extent, reflects the exportmarket recovery is facing greater uncertainty.
          Although this is the case, but later there are some favorable factors supporting the formation of the export market.First, the domestic Baosteel, Anshan Steel, Wuhan Iron and Steel and other leading domestic steel price increase in September, will drive the prices of other small and medium steel mills, in order to stimulate the domestic spot market prices, providing support for the export market; Second, since the latter part of September, especially as foreigngradual recovery of demand, such as the Middle East, the end of Ramadan in early September, factories and traders replenishment demand will increase, thereby enhancing market sentiment; third is due to increased costs and the expected recovery in demand, coupled with the parts of the steel mills cut production to ease the market pressure,Recently the mainstream international steel steel prices to be raised, as scheduled later this month, Taiwan’s China Steel to open a 10-11 month price to be set up NT $ 400-500 / t, and India to cut some time ago because the effect of steelresources and reduce imports, also plan to raise prices of its steel 750 rupees / tonne.



Share with

Leave a Reply