In June this year, the purchasing managers index (PMI) of the steel sector in China’s Hebei Province decreased to 47.7 percent, down 4.0 percentage points month on month, as announced by the Hebei Province Metallurgical Industry Association (MIA). In the given month, the trend of the PMI for the steel sector in Hebei Province was the same as that for the whole of China, which decreased by 0.5 percentage points month on month to 45.9 percent, as announced by the China Steel Logistics Committee (CSLC).
In June, the overall new order index for Hebei Province’s steel sector decreased to 43.6 percent, down 7.7 percentage points compared to the previous month.
In June, the production index for Hebei Province’s steel sector decreased by 2.5 percentage points, standing at 47.5 percent.
In the given month, the new export order index for Hebei Province’s steel sector increased by 10.6 percentage points month on month to 55.3 percent. The improved situation in the global steel market exerted a positive impact on China’s steel exports.
At the same time, the inventory index for finished steel in Hebei Province declined by 7.9 percentage points month on month to 42.1 percent in June.
In June, the inventory index for raw materials in Hebei Province stood at 45.0 percent, down 5.0 percentage points month on month.
The ex-works price index for finished steel stood at 25.6 percent in June, up 6.1 percentage points month on month.
In June, the purchasing price index for raw materials stood at 17.1 percent, down 6.1 percentage points from May this year.
Steel prices in Hebei Province are expected to decrease in July amid the anticipated slack demand from downstream users in the traditional off-season.