Finished steel prices in China fluctuated within a limited range in May this year amid the shift from the traditional peak season to the offseason, as stated by the China Iron and Steel Association (CISA).
As of April 30 this year, the China Steel Prices index (CSPI) stood at 93.16 points, down 1.7 points, decreasing by 1.79 percent month on month.
In the first four months this year, the crude steel output of China totaled 345.35 million mt, up 0.4 percent year on year, while China’s apparent consumption of crude steel amounted to 305.13 million mt, down 1.7 percent year on year, reflecting the continuation of a pattern of strong supply and weak demand in the given period.
The rainy weather and high temperatures in southern China and the approaching plum rainy season in the middle and lower reaches of the Yangtze River will negatively affect the demand for steel. Facing relatively high supply and weak demand, CISA has urged steelmakers to produce rationally, thereby preventing steel prices from falling further due to intensification of the conflict between supply and demand.