Recall that the Chinese authorities are considering the possibility of reducing local production steel in 2025 in an attempt to restore market balance and the profitability of metallurgical plants. Market participants expect a decrease in steel supply from China by 2-5% in annual terms this year. According to our data, production reduction by 2-3% could normalize abnormally high volumes of steel exports from China (which increased by 25% in 2024 and by 13% in the first 7 months of 2025).
The import of coal to China in July fell by 23% in annual terms, compared with a fall by 26% in June, since the abundant internal proposal limited the demand for the demand for the demand for the demand for the demand for the demand for the demand Import. Improvement compared to the previous month is associated with a hotter weather, which caused a temporary increase in the demand for air conditioning, supporting electricity consumption. Government checks in the main coal regions of China can lead to interruptions in deliveries, which will reduce the pressure on the volume of imports.
