China's State Council favors increase in real estate supply

SteelOrbis Shanghai In a recent meeting of the Chinese State Council held to discuss real estate controls in China, an increase in real estate availability was suggested so as to keep price levels stable and improve the healthy development of the real estate market. According to the meeting in question, the Chinese government has changed its real estate policy. Previous policies had always aimed to curb both demand and supply. However, the results have apparently not been positive. The housing price level in Shanghai and Hefei has slipped slightly, while the price level in other cities has seen a sharp upward jump. The increase range in Beijing, Shenzheng, and Guangzhou is above 10 percent. This time, targeting stable price levels, the meeting stated the necessity of the imposition of a continuous curb on demand, while at the same time recommending that supply should be increased. Therefore, China's demand for construction steel can be expected to rise considerably in the future.