On November 17, the
China Iron and Steel Association (CISA) stated that, with the season for low steel
consumption approaching, steel demand in
China is generally weakening. However, due to reduced steel production and lower inventories, steel prices in
China will see fewer declines and will tend to trend sideways.
Steel inventories in
China are declining, especially for long steel products. As of the end of October, total inventory in the 26 main domestic steel markets amounted to 14.34 million mt, indicating a decrease of 0.87 month on month.
In November, however, the decline in
China's steel inventories has speeded up. As of November 10, total inventory in the 26 main domestic steel markets was 13.43 million mt, down 6.35 percent from the end of October. Long steel products saw the fastest drop in inventory, with inventories of both rebar and wire rod falling to their lowest levels for the current year.