The China Iron and Steel Association (CISA) has announced that in early July (July 1-10) this year the average aggregate daily crude steel output of large and medium-sized steel enterprises in China - all CISA members - totaled 2.022 million mt, down 0.1 percent compared to late June (June 21-30) this year.
In late June, the average aggregate daily crude steel output of large and medium-sized steel enterprises in China had totaled 2.024 million mt, down 3.6 percent compared to mid-June (June 11-20) this year.
Inventory levels of the large and medium-sized steel enterprises in China increased in the given period. As of July 10, the finished steel inventories of large and medium-sized steel enterprises in China amounted to 16.77 million mt, increasing by 3.0 percent compared to June 30.
The inventory levels in early July rose by 3.0 percent, compared to a 0.1 percent decline in daily crude steel output, reflecting sluggish demand from downstream users amid a series of severely adverse weather events in the given period. In particular, according to the data issued by CISA, stocks increased sharply in northeast China, central-south China and east China, by 14.9 percent, 11.7 percent and 5.9 percent compared to late June, respectively. Typhoon Bavi resulted in extremely heavy rainfall in northeast China, contributing to the build-up of inventory in early July.