Chinese finished steel exports strong in February

SteelOrbis Shanghai According to the latest figures from the Customs, China exported 1.86 million metric tons of finished steel, up 370,000 metric tons or 24.8 percent year on year, and up 50,000 metric tons or 2.8 percent month on month in February 2006. However, China's February imports of finished steel recorded a historical low level since February 2001. In February 2006, China imported 1.25 million metric tons of finished steel, down 340,000 metric tons or 21.4 percent year on year, and down 320,000 metric tons or 20.4 percent month on month. In conclusion, China net exported 610,000 metric tons of finished steel in February. In the first two months of 2006, the cumulative export volume of China's finished steel saw a year-on-year increase of 22.7 percent to 3.67 million metric tons, while the cumulative imports saw a year-on-year reduction of 19.5 percent to 2.82 million metric tons. China's cumulative net finished steel exports in January and February reached 850,000 metric tons. In February, China exported 300,000 metric tons semi finished steel, a year-on-year decrease of 540,000 metric tons, and a month-on-month increase of 10,000 metric tons or 3.4 percent. The imports of semis in the same period slumped sharply to 30,000 metric tons, a year on year decline of 120,000 metric tons or 80 percent, and a month on month increase of 10,000 metric tons or 50 percent. In February, China net exported 270,000 metric tons of semi finished steel. During January- February, the cumulative semis exports totaled 590,000 metric tons, down 57.6 percent year on year, while the cumulative imports of semis amounted to 50,000 metric tons, down 80 percent. In the first two months, China net exported 540,000 metric tons of semi finished steel. If calculate on crude steel basis, China net exported 920,000 metric tons of crude steel in February, while 1.45 million metric tons for the first two months. Though the net export volume of crude steel in the first two months reached 1.45 million metric tons, the trade recorded $541.18 million deficit. In addition, China imported 24.9 million metric tons of iron ore in February, while that in the first two months totaled 51.47 million metric tons, up 31.9 percent year on year. In January, Chinese finished steel prices have been in a downward trend, while those in the international market are considerably high. This attracts a lot of inquiries from foreign countries. The export volume in February is large, and this will remain to April. At present, traders face more difficulties in export due to the continuous increase in domestic prices. Some of them have already ceased their foreign trade business. The export increase range in May is expected to see downward trend.