Development of steel production in China is once again at a record level. In March 2016 the production volume amounted to 70.65 million. Tons.
Development of steel production in China is once again at a record level. In March 2016 the production volume amounted to 70.65 million. Tons. Evaluation of the results produced state-owned Beijing Antaike Information Development Co. Compared to March 2015 the increase was 2.9%. Over the entire period of observation is the highest level. At the same time for January-March production of steel in China has decreased. The fall of 3.2% compared to the first quarter of 2015. The volume of production amounted to 192 million. Tons.
Metallurgical increasing Chinese production capacity due to the cost of the recovery in the global steel market. Also it is necessary to take into account the growth of domestic consumption. However, experts say that the new record level of a brute force. The growth in the March figures perceived quite normal. As stated by representatives of CRU Group, the manufacturer wants to make. The market is relatively rigid. Hence the attempts to re-start the work before the power stopped.
Since the beginning of 2016 the intrinsic value of Chinese products has increased by one third. The price of benchmark hot-rolled sheet shows an increase of 45%. Due to the increasing cost of steel production and an increase changed price of iron ore. The growth was 36%. However, experts believe that the race will soon stop. It remains to be the time when traders end up restocking. Apparently, the overproduction of steel in China will remain a problem for many years.
In mid-April, China and the US have reached a certain agreement. This is the cessation of export subsidies steel from China. The low cost of production has led to massive layoffs in the United States. It was signed an agreement on the abolition of subsidies. WTO rules prohibit it. For Americans, it is a real victory. Various industrial sectors benefit from this improved competitive conditions. The agreement underlines the commitment of the American president guaranteed the observance of trading rights of Americans.
In 2015, China's manufacturers exported to the United States a considerable amount of steel products. He has exceeded 112 million. Tons of steel. This figure exceeds the number of products produced in the United States. US analysts assessed the situation. According to them the Chinese government subsidized per ton shipped products to USD 70.