China’s flat steel output falls in Oct’21: CISA

China’s plate mills and hot-rolling mills registered a y-o-y decline in output in Oct’21, with the m-o-m drop expanding at a higher rate, as per data released by the China Iron and Steel Association (CISA). The output from continuous cold-rolling mills increased marginally y-o-y. The daily output by plate mills and hot-rolling mills noted a m-o-m decline while daily output from the continuous cold-rolling mills registered a slight increase m-o-m.

The monthly output of key categories showed varying disparities y-o-y, with notable increase in container plates, and apparent decline in vehicle plates.

Flat steel production falls

Plate mills produced 4.79 million tonnes (mn t) of extra-thick plates and medium thick plates, down 1.22 mn t or 20.3% y-o-y in Oct’21. The hot rolling mills produced 14.14 mn t of hot-rolled products, down 1.6 mn t or 10.2% y-o-y. Specifically, saleable products totalled 7.89 mn t, down 1.13 mn t or 12.5% y-o-y. Products further processed totalled 6.25 mn t, down 470,000 tonnes (t) or 6.9% y-o-y.

The continuous cold-rolling mills produced 6.27 mn t, up 80,000 t or 1.3% y-o-y. Specifically, saleble products totalled 4.26 mn t, down 180,000 t or 4.1% y-o-y. Products further processed totalled 2.01 mn t, up 260,000 t, or 14.9% y-o-y.

Production, sales of key products

• Thick plates: In October, the output of extra-thick plates was 580,000 t, down 270,000 t or 31.8% y-o-y. Sales totalled 540,000 t, of which exports were at 20,000 t. The output-sale ratio was at 93.1% and the sales price was at RMB 6,364/t ($996/t), down by RMB 60/t ($9/t) m-o-m.

In October, the output of medium thick plates was 4.21 mn t, down 940,000 t or 18.3% y-o-y. Sales totalled 4.11 mn t, of which 110,000 t were exported. The output-sale ratio was at 97.6% and the sale price was at RMB 6,133/t ($960/t), up RMB 23/t ($4/t)  m-o-m.

Output of medium-thick wide steel strips totalled 5.85 mn t, down 1.04 mn t or 15.1% in October. Sales totalled 5.73 mn t, of which 80,000 t were exported. The output-sales ratio was at 97.9% and sale price was at RMB 5,966/t ($934/t), up by RMB 21/t ($3/t) m-o-m.

• Hot-rolled products: Output of hot-rolled thin wide steel strips was 2.03 mn t, down 90,000 t or 4.4% y-o-y in October. Sales totalled 1.94 mn t, of which exports were at 40,000 t. The output-sales ratio was at 95.6% and the sales price was at RMB 6,235/t ($976/t), up RMB 7/t ($1/t ) m-o-m.
• Cold-rolled products: In October, the output of cold-rolled thin wide steel strips totalled 3.35 mn t, down 170,000 t or 4.8% y-o-y. Sales totalled 3.22 mn t, of which 80,000 t were exported. The output-sales ratio was at 96.1% and sale price was at RMB 6656/t ($1,042/t), up RMB 17/t m-o-m.
• Galvanised plates: In October, the output of galvanised steel plate totalled 1.9 mn t, up 30,000 t or 1.6% y-o-y. Sales totalled 1.9 mn t, of which 190,000 t were exported. The output-sale ratio was at 100.1% and sale price was at RMB 7,251/t ($1,135/t), down RMB 71/t ($11/t) m-o-m.
• Tin-coated steel plates: In October, the output of tin-coated steel plate totalled 110,000 t, flat y-o-y. The coating plate output was 170,000 t, down 20,000 t or 10.5% y-o-y.

 Usage-wise output

• Ship-building plates: In October, the ship-building plate output was 740,000 t, up 40,000 t or 5% y-o-y, of which high-strength steel plate was 440,000 t, up 20,000 t or 4.8% y-o-y.
• Boilers and pressure containers: The output of steel plates for boilers and pressure containers totalled 370,000 t, up 10,000 t or 4.2% y-o-y.
• Bridge: Output of the plates for bridge was 210,000 t, down 30,000 t or 14.1% y-o-y.
• Pipeline: The pipe line steel output was 260,000 t, down 60,000 t or 19.1% y-o-y.
• Containers: The output of container-use plates was 490,000 t, up 110,000 t or 29.7% y-o-y.
• Automobile plates: The output of automobile used plates totalled 2.51 mn t, down 550,000 t or 17.8% y-o-y. Specifically, the output galvanised automobile plate totalled 630,000 t, down 120,000 t or 15.9% y-o-y.
• Home appliances: The output of plates for home appliances totalled 790,000 t, up 40,000 t or 5% y-o-y. The silicon steel output was 910,000 t, down 10,000 t or by a marginal 1% y-o-y, of which oriented silicon steel output was 90,000 t, down 10,000 t or 7.6% y-o-y.

The hot-rolled pickling plate output was 610,000 t, down 40,000 t or 6.4% y-o-y. The output of high-strength steel plates was 3.09 mn t, down 710,000 t or 18.6% y-o-y.