Li Xinchuang, head of the Chinese Metallurgical Industry Research Institute, said on May 15 that Chinese crude steel output, which is continuing to increase, is expected to reach 640 million mt in 2010, up 10 percent year on year and constituting an all-time record high. He also estimated that Chinese domestic steel demand for this year will total 580 million mt, with the export volume increasing to 35 million mt.
At the beginning of this year, Mr. Li Xinchuang said he had expected Chinese crude steel output to total 625 million mt in 2010. But according to the January-April figures, this prediction now appears to be on the conservative side. Both crude steel and finished steel outputs, he said, have shown massive increases year on year in January-April, with the crude steel output up 25.4 percent. China's daily crude steel output in April was 1.85 million mt, which would be equivalent to an annual output of 670 million mt.
In the first four months of the year, Chinese domestic steel exports showed a rapid increase, Mr. Li said. In this period, crude steel imports came to 5.61 million mt, up 15.7 percent year on year; exports amounted to 13.02 million mt, up 98.5 percent year on year. Mr. Li said he considered the figures reflect a positive development trend in the global market. It is expected that annual exports will rise to 35 million mt, he said, which would still be below the 2007 level. China's crude steel exports in 2007 came to 62.69 million mt, accounting for revenues of $44.16 billion.