Overall Construction Steel Demand Maintains a Weak Stability in the Short Term
According to SMM statistics, mill stocks and social stocks of construction steel both saw some destocking in the current period. Total construction steel inventory came in at 6.5646 million tonnes, down 224,700 tonnes period-on-period, or −3.31%, indicating a slowdown in the pace of destocking. On the supply side: According to widespread feedback from long-process mills, ...
SMM statistics reveal a weak stability in overall construction steel demand in the short term. Mill stocks and social stocks of construction steel experienced some destocking, with total construction steel inventory standing at 6.5646 million tonnes, a decline of 224,700 tonnes compared to the previous period, representing a 3.31% decrease in destocking.
On the supply side, long-process mills report a recovery in steel profitability per tonne, leading to increased willingness to produce. Some mills have even restarted construction steel rolling lines. Short-process mills, with holding margins and manageable scrap sourcing, can maintain off-peak/valley-power production levels, with minimal fluctuations in production pace.
Demand-side factors reveal a pronounced north-south divergence. Colder weather in northern China has slowed construction progress at end-user sites and reduced procurement needs. Meanwhile, favorable weather in southern China has allowed for a normal construction pace, with demand demonstrating strong resilience. These factors largely offset each other, resulting in a construction steel demand that remains largely consistent with the previous period.
Written by urgent.news from Hellenic Shipping News's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
