China blast furnace operating rates rose slightly as Tangshan removed emergency response to heavy air pollution

SHANGHAI, Nov 19 (SMM)—Operating rates of blast furnaces at Chinese steel makers rose slightly this week as Tangshan decided to lift the level II emergency response to heavy air pollution.

An SMM survey showed that the average operating rate of BFs at steel mills in China edged up 0.1 percentage point from the previous week to 88.4% as of November 19.

China blast furnace operating rates 

Steel prices increased this week amid scores of positive news including upbeat Chinese real estate data, progress in coronavirus vaccines and the signing of Regional Comprehensive Economic Partnership (RCEP). However, while demand is expected to weaken as the weather becomes colder in north China, steel supply is likely to rise as Tangshan removed production restrictions and as current high profits prompted steel mills to ramp up production, which will pressure steel prices.