November steel market report
Date: 2021-11-11
November steel market report
Entering November, with the reduction of crude steel production entering a substantive stage of advancement and the decline in domestic demand, crude steel production will remain at a low level. Affected by factors such as reduced output and rapid contraction of profits of steel mills, the current production status of steel enterprises is basically in a state of unsaturated production, overhaul or shutdown.
In October of this year, the domestic steel market did not see the expected “Silver Ten”, but showed a clear trend of volatility and decline. Judging from the third-quarter performance disclosed by listed steel companies, the growth rate of net profit of many steel companies in the third quarter was higher than that of the previous year. Compared with half a year, it has slowed down significantly. However, steel demand has been weak in this year’s “Silver Ten”, steel mills’ production restrictions have been relaxed, and coal control policies have been intensively introduced, steel prices have fallen sharply.
With the first snowfall in the north, from the demand side, the northern region enters the winter, and the demand for building materials is gradually weakening; from the supply side, the current national production restrictions continue to Various factors such as the opening of peak production and the accelerated promotion of comprehensive treatment of air pollution in key areas in autumn will further restrict the release of steel production. It is expected that under the trend of weakening of demand for raw materials due to the limited production of steel mills, the probability of iron ore and coke prices falling in the later period will increase, and the cost of steel will also tend to fall. It is expected that the domestic steel market will fluctuate and weaken in November.
Post time: Nov-10-2021
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