[SMM Steel Market Morning News] The EU Plans to Reduce Steel Imports by 15% Starting April 1

★ Macro★

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EU to Cut Steel Imports by 15% Starting April 1

European Commission Executive Vice President Valdis Dombrovskis stated on Wednesday that the EU will tighten steel import quotas, reducing imports by another 15% starting April 1. This move aims to prevent cheap steel from flooding the European market after the US imposes new tariffs.

★Industry and Downstream★

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Ministry of Housing and Urban-Rural Development: Stabilize the Real Estate Market and Promote Recovery

According to China Construction News, the Party Leadership Group of the Ministry of Housing and Urban-Rural Development recently held an expanded theoretical study session. The meeting emphasized the need to continue advancing urban renewal, adhering to problem-oriented and goal-oriented approaches, conducting urban diagnostics, identifying pressing issues for the public and urban development shortcomings, and implementing a series of projects to improve livelihoods, mitigate risks, and promote development. Efforts should be made to stabilize the real estate market, consolidate the effects of the "Four Cancellations, Four Reductions, and Two Increases" policy stimulus package, continue the "guaranteed delivery of housing" campaign, intensify urban village and dilapidated housing renovation, promote the acquisition of existing commercial housing, and accelerate the establishment of a new real estate development model. By addressing both supply and demand, the aim is to halt the decline and stabilize the real estate market. The ministry also called for adapting to changes in the real estate market's supply-demand dynamics, meeting the public's demand for high-quality housing, setting standards, enhancing technology, and focusing on projects to build safe, comfortable, green, and smart "good houses," thereby continuously improving people's sense of gain and happiness.

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SMM Blast Furnace Operating Rate: Maintenance Slows, Pig Iron Production Surges

According to an SMM survey, as of March 19, the operating rate of blast furnaces at 242 surveyed steel mills was 87.25%, up 0.64 percentage points MoM. The daily average pig iron production of the sampled steel mills was 2.3909 million mt, up 19,000 mt MoM. During this period, three blast furnaces underwent new maintenance, while four resumed production. Part of the increase came from a blast furnace that resumed production on the 12th.

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Kunming: Adjusts Age Limit for Housing Provident Fund Loan Borrowers

The Kunming Housing Provident Fund Management Center issued a notice on adjusting the age limit for borrowers of housing provident fund loans. For applicants, the loan maturity date must not exceed five years beyond the statutory retirement age, with a maximum age of 68 for men and 63 for women. The maximum loan term is 30 years. The notice will take effect on March 24, 2025.

★Other Hot Topics★

⭕[General Office of the CPC Central Committee and the State Council: Strengthen Full-Chain Food Safety Regulation and Supervise New Online Food Sales Models]The General Office of the CPC Central Committee and the State Council issued opinions on further strengthening full-chain food safety regulation. The opinions proposed improving collaborative regulation of edible agricultural products, enhancing the review of food production and operation licenses, accelerating the establishment of food storage and transportation regulatory mechanisms, improving safety management for food delivery and postal services, strengthening supervision of new online food sales models, enhancing comprehensive regulation of catering services, and improving joint prevention and control mechanisms for imported food risks.

⭕[March 1-16: National New Energy Passenger Vehicle Retail Sales Up 41% YoY, Up 63% MoM]According to data released by the China Passenger Car Association, from March 1-16, national passenger vehicle retail sales reached 772,000 units, up 24% YoY and 33% MoM. Year-to-date retail sales totaled 3.948 million units, up 5% YoY. During the same period, new energy passenger vehicle retail sales reached 427,000 units, up 41% YoY and 63% MoM. Year-to-date retail sales of new energy vehicles totaled 1.853 million units, up 36% YoY.

⭕[Three Departments: Further Promote New Energy City Buses and Power Battery Equipment Upgrades, Average Subsidy of 80,000 Yuan Per Vehicle]The General Offices of the Ministry of Transport, the National Development and Reform Commission (NDRC), and the Ministry of Finance issued the "Implementation Details for Subsidies on New Energy City Buses and Power Battery Upgrades in 2025." Using ultra-long-term special treasury bond funds, fixed subsidies will be provided to urban bus companies for upgrading new energy city buses and replacing power batteries. Local governments are encouraged to reasonably select the length of new energy city buses to be replaced based on passenger flow changes and the development of the urban bus industry. The average subsidy per vehicle is 80,000 yuan, including 42,000 yuan for replacing power batteries. Local governments will independently determine subsidy standards based on the demand and proportion of vehicles and power batteries to be updated.