【SMM Analysis】Construction Steel Rigid Demand Recovers; Fundamentals Continue to Improve

Published: Sep 10, 2026 11:29

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According to SMM statistics, both mill stocks and social stocks of construction steel destocked to varying degrees this period. Total construction steel inventory came in at 7.8727 million tons, down 0.2013 million tons period-on-period, or -2.47% period-on-period, with the destocking pace accelerating.

Supply side: This period saw divergent production performance between long-process and short-process mills. Long-process steel mills' per-ton profitability continued to face pressure, with some mills reducing output or conducting maintenance on their construction steel rolling lines. By contrast, short-process steel mills maintained profitability, with high production enthusiasm — slightly extending operating hours or resuming production.

Demand side: Futures market fluctuations during the period drove intermittent improvement in market trading sentiment. Meanwhile, high-temperature and rainy weather receded across many regions, and favorable weather conditions slightly accelerated the pace of construction site work, releasing some construction steel demand.

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM's internal database model. They are for reference only and do not constitute decision-making recommendations.

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