China's stainless steel production has changed global industry levels

An in-depth analysis of the Chinese stainless steel industry, conducted by SMI GmbH over three months, showed that Chinese manufacturers have changed the overall world of stainless steel even more than previously thought.

For the first time, Chinese producers smelted more than 20 million tonnes of stainless steel, which also contributed to the global melt production growth of more than 40 million tonnes. Moreover, Chinese production accounted for 50.5 percent of global production in 2013.

Total stainless production rose to 20.5 million tonnes in 2013, up 17 percent from 17.5 million tonnes in 2012, and output reached 18 million tonnes, up 16 percent from 15 , 5 million tons in 2012. The production volumes of more than 100 Chinese factories (including about 60 with separate smelters) were combined and all double counting was eliminated.

The crude output of large state and foreign investment manufacturers (TISCO, Baosteel, LISCO, ZPSS, JISCO, Dongbei) increased by 11 percent in 2013. Private producers contributed most of the growth, with a combined growth of 24 percent in 2013.

The biggest rise in profit came from Tsingshan Group, which is already China's second-largest stainless steel producer after state-owned giant TISCO. More than 1 million tons in 2013 were smelted by new companies, including Beihai Chengde, which began production in 2012 in the southern province of Guangxi.