China's stainless grows despite weak global markets
China's cold rolled
stainless sheet
production capacity reached 2.4-2.5 million tons in 2005 with the completion of new projects from Taiyuan Steel, Ningbo Baoxin, Shanghai Krupp, Qingdao Pohang
Stainless and Guangzhou Lianzhong
Stainless.
When the projects under
construction in Taiyuan Steel, Guangzhou Lianzhong
Stainless Steel and Jiuquan Steel are completed by 2007, the domestic
production capacity of
China will reach 3.6 to 4 million tons.
Meanwhile, global
stainless steel growth is slowing despite
China's booming industry. Global
stainless steel
production increased 5.7 percent year on year in the first half, a drop of 2.1 percentage points from a year ago.
Falling
stainless steel prices and higher alloy surcharges are to blame for the decrease in global growth. Even though
stainless steel prices are not favorable in
China either, they are better than other markets. Domestic
stainless steelmakers continue to increase
production on a daily basis, and many foreign producers prefer the Chinese market.