China is threatened by oversupply of CR stainless steel

China is threatened by oversupply of CR stainless steel

According to latest news in the market, China will be threatened by oversupply of cold rolled stainless steel in five-year's time. It is estimated that the potential capacity of China will reach to 6 million tons, on the condition that construction of new mills and some projects conducted in China are completed in expected time intervals. However, officials of CRU state that, they expect the demand for stainless steel in China to reach up to 4 million tons by 2007 and this will result in oversupply of the product in China. According to forecasts of CRU, demand for stainless steel products in China by the end of 2003 is expected to amount at least 3.7 million tons, by an increase of 27.6%, which corresponds to an increase by 2.9% from the records of 2002.