The China Iron and Steel Association (CISA) has announced that in late September (September 21-30) this year the average aggregate daily crude steel output of large and medium-sized steel enterprises in China - all CISA members - totaled 1.881 million mt, down 2.1 percent compared to mid-September (September 11-20) this year.
In mid-September, the average aggregate daily crude steel output of large and medium-sized steel enterprises in China had totaled 1.922 million mt, down 0.1 percent compared to early September (September 1-10) this year.
Inventory levels of the large and medium-sized steel enterprises in China decreased in the given period. As of September 30, the finished steel inventories of large and medium-sized steel enterprises in China amounted to 15.65 million mt, decreasing by 8.4 percent compared to September 20.
The average aggregate daily crude steel output declined by 2.1 percent in late September, while inventory levels declined by 8.4 percent in the given period, signaling that the supply side has been actively contracting under pressure from financial losses, while inventory destocking has been largely driven by concentrated stockpiling by buyers near the end of the month and by proactive destocking by steel mills, rather than by any substantive recovery in end-user demand.
