According to the data released by
China Iron and Steel Association (CISA);
China's crude steel
production will hit 300 million tons,
pig iron production will stand at 280 million tons and apparent steel
consumption will top 350 million tons in 2005.
Crude steel will mostly be used to construct deformed bar and
wire rod required in the domestic
plate market especially in
shipbuilding, container and auto sectors.
Meeting the demand of the domestic market is not the only aim with the high
production. Nevertheless, Chinese steel exports are expected to surpass the imports and
China is likely to become a net exporter in 2005. The exports of
billet,
slab,
rebar and commercial
plate are expected to increase according to CISA.
The increase in
production is also expected to trigger the demand for more coal.