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 1.7688 million mt, down 11.18 percent compared to mid-September (September 11-20). This level is the lowest in more than three years.
In mid-September this year, the average aggregate daily crude steel output of CISA members totaled 1.9913 million mt, down 2.62 percent. This means that production cuts accelerated by the end of the month ahead of the holiday. CISA mills’ aggregate output for the whole of September declined by 7.8 percent compared to the previous month.
Inventory levels in the Chinese steel market decreased as well late September. As of September 30, the finished steel inventories of large and medium-sized steel enterprises in China amounted to 11.9544 million mt, decreasing by 1.348 million mt or 10.13 percent compared to September 20.
As of Thursday, September 30, rebar futures at the Shanghai Futures Exchange were standing at RMB 5,706/mt ($880/mt), increasing by RMB 101/mt ($9.9/mt) or 1.8 percent since September 23, while increasing by 1.15 percent compared to the previous trading day (September 29).