IRON and STEEL
According to latest data released by Chinese customs, nation’s finished steel exports in May’19 stood at 5.74 MnT, declined by 9% over 6.33 MnT in Apr’19.
Nation’s finished steel exports reported decline amid long stretched US-China trade war which intensified in the month of May when USA govt. announced an increase of trade tariffs from 10% to 25% on USD 200 billion worth of Chinese imports.
This led to pessimistic sentiments both in domestic and overseas market. Falling domestic prices over volatile futures have resulted to weakened export offers. Also softening overseas demand pulled down export volumes in the month of May.
Meanwhile slow buying from end users in Vietnam can also be attributed for falling export volumes from China in May’19.
Whereas on yearly basis nation's finished steel exports plunged by 17% in comparison to 6.88 MnT in corresponding period of previous year.
During first five months (Jan-May) CY'19 nation's exports volume was recorded at 29.09 MnT ,inched up by 2% as compared to 28.51 MnT in similar time frame of CY'18.
Chinese HRC export offers in May’19- On an average basis Chinese HRC export offers stood at USD 534/MT FoB basis in Apr’19 which was USD 532/MT in Mar’19. However export offers remain largely stable but buying remain subdued in overseas market.
Chinese steel imports fell by 2% M-o-M in May’19- Nation’s finished steel imports accounted for 0.98 MnT in May’19 inched down by 2% against 1 MnT in Apr’19.
On yearly premise the imports were down by 13% in May’19 against 1.13 MnT in May’18.
Meanwhile, during first five months (Jan-May) in CY’19 the imports were 4.87 MnT against 5.32 MnT in similar period of previous year.