China’s billet imports from India surged to 0.26 MnT in CY19 against 0.02 MnT in CY18.
Chinese billet imports reached 2.97 MnT during CY19 from 1 MnT in CY18 to register a Y-o-Y growth of 196%. Malaysia, Vietnam, Qatar, India and Russia stood among the major billet exporting nations to the country during CY19.
According to SteelMint analysis, the prime reason for sharp increase in billet imports, in China is its “Foreign Garbage Policy 2016”which puts the ban on scrap imports. The event; increase of billet imports, is also being actively supported by frequent production curbs in the country.
Since Oct’19, China is continuously imposing production curbs in order to keep a check on emission levels by the steel manufacturers which has driven the billet imports in the country amid reduced domestic availability and cheaper landed cost of imports.
Country-wise Chinese billet imports:
| Exporting Country | CY19 | CY18 | Y-o-Y (%) |
| Malaysia | 0.65 | 0.12 | 459.3 |
| Vietnam | 0.35 | – | 100.0 |
| Qatar | 0.30 | – | 100.0 |
| India | 0.26 | 0.02 | 1596.3 |
| Russia | 0.25 | – | 100.0 |
| United Arab Emirates | 0.24 | 0.03 | 837.1 |
| Oman | 0.20 | – | 100.0 |
| Japan | 0.19 | 0.18 | 8.3 |
| Indonesia | 0.16 | 0.51 | -68.6 |
| Others | 0.38 | 0.16 | 137.3 |
| Total | 2.97 | 1.00 | 195.7 |
Fig in MnT
~ Source: Customs, SteelMint Research
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