In February this year, the purchasing managers' index (PMI) of the steel sector in China’s Hebei Province increased to 60.7 percent, up 9.5 percentage points month on month, as announced by the Hebei Province Metallurgical Industry Association (MIA). In the given month, the trend of the steel sector PMI for Hebei Province was in line with that for the whole of China, which rose by 3.5 percentage points month on month to 50.1 percent, as announced by the China Steel Logistics Committee (CSLC).
In February, the overall new order index for Hebei Province’s steel sector stood at 69.0 percent, up 19.0 percentage points compared to the previous month. The easing of Covid-19 measures exerted a positive impact on market sentiment.
In the given month, the production index for Hebei Province’s steel sector was at 62.8 percent, up 10.5 percentage points month on month.
At the same time, the inventory index for finished steel in Hebei Province decreased to 47.5 percent, down 29.3 percentage points month on month.
As for March, steel prices in Hebei province will edge up slightly amid the expected marginally increases in production and amid support from raw material costs.