Favorable macroeconomic news in China as well as overhauls carried out by Chinese steel plate producers have provided support for the upward trend of Chinese steel plate prices. For example, the purchasing managers index (PMI) for China's steel sector in October was 52.7 percent, up 9.2 percentage points compared to the previous month, as announced by the China's National Bureau of Statistics (NBS) and the China Steel Logistics Committee (CSLC). In addition, steel plate producers in China - including Hebei-based Tangshan Steel, Jiangxi-based Pingxiang Steel, Shandong-based Jinan Steel, Jiangsu-based Xicheng Steel and others - are currently conducting capital repairs. Accordingly, the steel plate market in China may see some shortages on the supply side in the coming period.
Chinese plate traders' optimism has been boosted by the prospects of reduced supplies and by the price increases announced by some mills. It is thought that the Chinese steel plate market will maintain its upward trend in the short term despite the weakness of demand from end-users.