In October this year, China’s export volumes of steel sheet and plate amounted to 2.87 million mt, down 18.3 percent year on year, 13.5 percentage points higher than the decline rate recorded for September. Such a slowdown of exports of these major flat steel products was due to much stronger local demand and prices than in the international market, where competition remained high.
In the January-October period this year, China’s export volumes of steel sheet and plate totaled 33.10 million mt, 1.8 percent lower compared to the same period last year. The pace of decline was 1.2 percentage points faster compared to the January-September period this year, according to the Chinese customs authorities.
It is not expected that China will become more active in hot rolled flat steel exports before the end of this year. Average local HRC prices in China have increased by six percent since the beginning of the current month and most mills have been focusing on meeting the needs of local customers. In the first quarter of 2020, a strong rebound in flat steel exports is not anticipated by market participants as, though demand in the domestic market may slow down, production may also be revised downwards due to restrictions in the country.