In November this year, the purchasing managers index (PMI) for the Chinese steel sector was at 43.3 percent, the lowest level in the past nine months, down by 2.7 percentage points as compared to October, still remaining below the 50 percent threshold, as announced by the China Steel Logistics Committee (CSLC), which is part of the China Federation of Logistics and Purchasing (CFLP).
In addition, in November the production index for the steel sector indicated a 3.6 percentage point month-on-month decrease to 38.6 percent. Meanwhile, in November the raw material inventory index for the sector increased to 44.9 percent with a 1.2 percentage point month-on-month increase, while the sub-index for new orders saw a decrease of 7.2 percentage points month on month to 40.2 percent.
In the given month, the finished steel inventory index increased to 53.9 percent, up 0.8 percentage points month on month, while the index for new export orders decreased to 49.5 percent, down 5.4 percentage points month on month, reflecting the sluggish performance of China's steel exports in November. In November, the purchase price index in the Chinese steel sector stood at 31.1 percent, seeing a significant decline of 9.5 percentage points month on month.