The National Development and Reform Commission announces the operation of the steel industry in August 2012

China Drying Network News Development and Reform Commission website announced on the 20th of August 2012 the operation of the steel industry. In August, the country’s crude steel production decreased by 1.7% year-on-year, and steel prices continued to decline. From January to July, the steel industry realized a profit of 79.3 billion yuan, a decrease of 48.3% year-on-year.

In August, the country’s crude steel production decreased by 1.7% year-on-year, compared with 13.8% in the same period of last year; steel production increased by 1.4%, and the growth rate slowed by 11.5 percentage points year-on-year. Coke production decreased by 2.8% from the same period last year to 22.6%. Ferroalloy production increased by 25.6%, accelerating by 1.2%. The export of steel products was 4.24 million tons, which was 80,000 tons less than the previous month. Imports of 1.2 million tons were 40,000 tons more than the previous month. The export of coke is 50,000 tons, which is 60,000 tons less than the previous month.

Steel prices continue to decline. In August, the domestic steel price index averaged 104.39, down 7.64 points from the previous month and down 30.78 points from the same period last year. The average price of 6.5mm high-wire, 20mm plate, and 1.0mm cold-rolled coil was RMB 3,712/ton, RMB 3,629/ton and RMB 4,567/ton, which was 5.9%, 8.4%, and 4.2% lower than the previous month, respectively. 27.1%, 26.6% and 17.4%.

From January to August, the country's crude steel production was 48.157 million tons, which was a year-on-year increase of 2.3%, and the growth rate was 8.3% lower than the same period of last year. The steel output was 627.70 million tons, an increase of 5.7%, which slowed down 7.4 percentage points. The output of coke was 29.7544 million tons, an increase of 4.8%, slowing down by 8.9 percentage points. The output of ferroalloy was 20.23 million tons, an increase of 12.6%, slowing down by 9.9 percentage points. Billet imports 250,000 tons, a decrease of 38%. Steel exports reached 3.579 million tons, an increase of 8.6%; imports reached 9.32 million tons, a decrease of 12.3%. The import of iron ore was 486.5 million tons, an increase of 8.7%. The export of coke was 750,000 tons, a drop of 74%.

From January to July, the steel industry realized a profit of 79.3 billion yuan, a decrease of 48.3% year-on-year. Among them, the profit of the ferrous metal mining industry was 49.2 billion yuan, a decrease of 3%; the profit of the iron and steel smelting and processing industry was 24.2 billion yuan, a decrease of 73.2%.

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