The Chinese market became in the grip of paradoxes

The beginning of this week in the Chinese market has become the most controversial recently. A decrease in prices for local traders is somehow strangely combined with rising prices among manufacturers of metal rolling. As you know, metallurgical plants raised April prices for rolls and reinforcement by more than $ 50, despite the obvious lack of demand and crowded warehouses.

To hold out until the beginning of summer was the main concern of local merchants with a metal rolling. All China is impatiently awaiting the one promised by the Government to inflict billions into infrastructure and large construction projects of the country. However, the pressure of the market has already led to a drop in domestic prices for metal products in China by almost 3%, rolling them to the level of January.

The arrogance of Chinese metallurgical plants leads to new records for the production of steel and metal rolling about a third of which does not find its consumer. Today it became known that the largest trailers of the Middle Kingdom intend to reduce steel production by 3.3% to 1 million 676 thousand tons.

Hope for the restoration of demand does not leave the Chinese market, which still counts on good earnings in infrastructure projects and has hopes for a new market course of the updated government of the country.