China: Steel inventories at key CISA mills drops 12% in late-Dec’25

• Inventories dropped by 14% y-o-y, 1% m-o-m in late-Dec
• Crude steel output trends lower y-o-y

The China Iron and Steel Association (CISA) reported that total steel inventory at key Chinese enterprises reached 14.14 million tonnes (mnt) in late-December 2025 (21-30 December), a decrease of 1.87 mnt or 11.7% against 16.01 mnt in mid-December 2025.

Moreover, inventories decreased by 140,000 tonnes (t) or 1% m-o-m from 14.28 mnt in late-November 2025. On a y-o-y basis, inventories rose by 1.77 mnt or 14% compared with 12.37 mnt in late-December 2024.

Production volume

The average daily crude steel output of CISA-affiliated enterprises stood at 1.64 mnt in late-December, moreover, output declined by 12% y-o-y from 1.87 mnt in late-December 2024.

Average daily finished steel output stood at 1.892 mnt in late-December, up by 4.9% from 1.803 mnt in mid-December. However, this level was 4.3% lower on a y-o-y basis.

Average daily pig iron output stood at 1.67 mnt in late-December, down by 0.6% from 1.68 mnt in mid-December, and 3.7% lower y-o-y.

Outlook

In the near term, falling inventories and reduced crude steel output suggest tightening supply, which may support prices; however, the market narrative will continue to be guided by demand recovery and seasonal consumption trends.