Chinese steel mills actively cut production

China's crude steel production fell 3.3% year on year in June, while steel production fell 2.3% year on year, according to statistics.

In June, demand for the steel industry and automotive steel improved and infrastructure construction expanded, but construction machinery in real estate and home appliances continued to fall.

In terms of exports, although the economies of Europe and the United States are under downward pressure, the index of industrial production in Southeast Asia is still stable, and subsequent steel exports are expected to gradually recover.

In addition, China's rebar consumption increased and supply declined last week, while hot-rolled coil (HRC) and cold-rolled coil (CRC) consumption and supply declined. If the processing industry can continue to stabilize, coupled with a strong reduction in production, an improvement in the supply and demand trend is expected.