[SMM Steel Market Morning News] February Rebar Production Is Expected to Reach 8.0104 Million mt, Coiled Rebar 3.182 Million mt, with an Increase in Daily Average Production

★Macro★

01★★★

【Trump: To Announce 25% Tariff on Steel and Aluminum】

US President Trump: We will announce a 25% tariff on all steel and aluminum entering the US on Monday. Reciprocal tariffs will be announced on Tuesday or Wednesday and will take effect almost immediately.

02★★★ 

【NDRC Signs Two Cooperation Documents with Relevant Brunei Departments】

On February 6, 2025, witnessed by the heads of state of both countries, Zheng Shanjie, Director of the National Development and Reform Commission (NDRC), and relevant Brunei departments renewed the cooperation plan for jointly building the "Belt and Road" and signed two cooperation documents in the field of economic development. The two sides renewed the "Cooperation Plan Between the Government of the People's Republic of China and the Government of Brunei Darussalam on Jointly Promoting the Belt and Road Initiative," aiming to lead and coordinate practical cooperation in various fields. They also signed the "Memorandum of Understanding Between the National Development and Reform Commission of the People's Republic of China and the Ministry of Finance and Economy of Brunei Darussalam on Exchange and Cooperation in the Field of Economic Development," covering areas such as macroeconomics, industrial development, infrastructure construction, and green sustainable development.

03★★ 

【Foreign Ministry: Protectionism Has No Future, Trade Wars and Tariff Wars Have No Winners】

At the regular press conference of the Ministry of Foreign Affairs on February 10, a reporter asked about US President Trump's statement that he would announce a 25% tariff on all steel and aluminum imports to the US on February 10. In response, spokesperson Guo Jiakun said, "For specific questions, please consult the competent authorities. I want to emphasize that protectionism has no future, and trade wars and tariff wars have no winners."

04★★ 

【Has China's Additional Tariff on US Goods Officially Taken Effect? Foreign Ministry Responds】

Foreign Ministry spokesperson Guo Jiakun hosted a regular press conference on February 10. A reporter from NHK asked whether China's additional tariff on US goods had officially taken effect today. Guo Jiakun responded, "Regarding your first question, for specific issues, I suggest consulting the competent authorities." He emphasized, "Trade wars and tariff wars have no winners and harm the interests of the people of both countries. What is needed now is not unilateral tariff hikes but equal and mutually respectful dialogue and consultation. We urge the US to correct its wrong practices and stop politicizing and instrumentalizing economic and trade issues."

★Industry and Downstream★

01★★★★

【Planned Rebar Production in February: 8.0104 Million mt, Coiled Rebar: 3.182 Million mt】

SMM Construction Steel Mill Production Schedule (56 mills) 2025.02

Rebar: Planned production in February is 8.0104 million mt, down 283,900 mt from January's actual production, a decrease of 3.42%.

Coiled rebar: Planned production in February is 3.1817 million mt, up 83,200 mt from January's actual production, an increase of 2.69%.

02★★★★ 

【Daily Average Cold-Rolled Production in February Up 9.2%】

According to the latest SMM tracking, the planned cold-rolled product volume of 31 mainstream steel mills in February totals 4.2424 million mt, down 60,600 mt from January's actual production, a decrease of 1.4%. On a daily average basis, February's shorter days result in a planned daily average of 151,500 mt, up 9.2% MoM from January's actual daily average production.

03★★★★

【SMM HRC Production: Strong Orders & Multiple Mills End Annual Maintenance, February Daily Average HRC Production Increases】

According to the latest SMM tracking, the planned HRC product volume of 39 mainstream steel mills in February totals 13.8055 million mt, down 316,600 mt from January's actual production, a decrease of 2.2%. On a daily average basis, February's planned HRC product volume is 493,100 mt/day, up 37,500 mt/day from January's actual daily average production, an increase of 8.2%.

04 ★★

【Shanghai's January Real Estate Market Stable, Second-Hand Residential Trading Volume Up 8.75% YoY】

In January, Shanghai's real estate market remained stable, with new home trading volume flat YoY. According to Shanghai Centaline Property statistics, 16,100 second-hand residential units were traded in January, up 8.75% YoY. Lu Wenxi, a market analyst at Shanghai Centaline Property, noted that Shanghai's second-hand housing transactions surged in Q4 last year, with faster clearance of listed properties and improving seller sentiment. Although the trading pace of second-hand homes slowed in January, market expectations continued to improve under the influence of earlier market momentum.

05★★ 

【Second-Hand Residential Transactions During Chinese New Year Holiday Up 19% YoY】

Latest data shows that the real estate market in many regions across the country continued the recovery trend seen since Q4 last year, with a notable rebound in first-tier cities. During the Chinese New Year holiday, the daily average transaction area of new homes in 28 representative cities increased by 8% YoY, while second-hand residential transactions in key cities rose 19% YoY. Institutional data indicates that in January, the total land acquisition amount of the top 100 real estate companies increased by over 40% YoY, reversing from negative growth last year.

★Other Hot Topics★

⭕【South-to-North Water Diversion Eastern Route Starts 2024-2025 Water Transfer, Plans to Transfer 151 Million m³ to North of Yellow River】

The South-to-North Water Diversion Eastern Route emergency water supply project began its 2024-2025 water transfer on February 10, planning to transfer 151 million m³ of water to the north of the Yellow River. Statistics show that in recent years, the Eastern Route project has cumulatively transferred 825 million m³ of water to the north of the Yellow River, including 571 million m³ to the Beijing-Hangzhou Grand Canal, alleviating ecological water shortages along the route and promoting comprehensive groundwater management in North China and full water replenishment of the Beijing-Hangzhou Grand Canal.

⭕【Domestic Commodity Futures Mostly Closed Higher, European Container Shipping Rates Up Nearly 15%】

Domestic commodity futures mostly closed higher, with European container shipping rates up nearly 15%. Fuel oil and PTA rose over 2%, while PX, palm oil, rapeseed meal, SHFE gold, PET, short fiber, and crude oil rose over 1%. Coke, silicomanganese, and live hogs fell over 1%.