In the January-August period of the current year, the steel industry in Jiangxi Province is expected to register an operating revenue of RMB 176.0 billion ($26.5 billion), up 25 percent year on year, and a gross profit of RMB 10.5 billion ($1.6 billion), up 90 percent year on year, as announced by the Commission of Industry and Information Technology of Jiangxi Province.
As of August 31, the price of 6.5 mm high-speed wire rod was at RMB 4,370/mt ($659/mt), up 32.42 percent compared to the beginning of the year, while rising by 67.43 percent year on year. In the January-July period of the current year, overall pig iron, crude steel and finished steel outputs in Jiangxi Province amounted to 12.2669 million mt, 13.6332 million mt and 14.7476 million mt, up 5.3 percent, 9.9 percent and 1.9 percent year on year, respectively. It is expected that crude steel output in Jiangxi Province for the January-August period of the year will still indicate a five percent rise on year-on-year basis. Meanwhile, inventory levels of finished steel in Jiangxi Province have declined in August, dropping to 9.43 million mt as of the end of the second week of the month, the lowest level since the beginning of the year, thereby easing the supply pressure on the market.