According to the China Iron and Steel Association (CISA), in July this year domestic large and medium sized steel mills' aggregate profit reached RMB 2.86 billion ($420 million), decreasing by RMB 3.39 billion ($500 million) or 54.24 percent month on month and down 73.05 percent compared with the corresponding month last year. Thus, the month-on-month decline seen in profits in July follows that already seen in the month of June.
In the January-July period, the total profit of China's large and medium sized steel mills amounted to RMB 53.71 billion ($7.887 billion), increasing by RMB 41.416 billion ($6.082 billion) or 3.37 times year on year.
The CISA considers that, with ex-works prices of the main large and medium sized mills for August indicating decreases, domestic steelmakers' profits are expected to decline further in August as compared to July levels.