SHANGHAI, Jun 25 (SMM) — Operating rates of blast furnaces at steel mills fell 0.9 percentage point from a week ago and decreased 0.8 percentage point from a month ago to 84.9% as of June 24, SMM survey showed. Nearing the 100th anniversary of the founding of the Party, production restrictions in Hebei, Tangshan and other places have strengthened, and other areas have also strictly carried out safety and environmental inspections. In addition, the demand entered the off-season. Stocks increased across the country. Steel plants have different levels of maintenance plans. It is expected that operating rates of blast furnaces will still maintain a downward trend next week.

The Price Department of the National Development and Reform Commission and the Price Supervision and Competition Bureau of the State Administration for Market Supervision went to Beijing Iron Ore Trading Center on June 21 to conduct surveys to learn more about iron ore transactions and price changes since this year, and held a special symposium to study for iron ore and other bulk commodities to ensure the supply and price stabilisation work. As soon as the news of the joint research came out, the nonferrous metals fell across the board. Among them, iron ore fell by 8.79%, a record low in the past two weeks. Coke fell by more than 5%, and HRC, rebar and coking coal fell by more than 4%. Spot prices also fell.

Recently, the national level has paid great attention to the operating pressure of mid- and downstream enterprises caused by the high prices of bulk commodities, and the negative impact of the policy continues. And according to the steel price adjustment information released by many steel companies, steel prices generally fell. In terms of spot prices, the decline in quotations following the sharp drop in steel futures has been further amplified, market bearish sentiment has increased, end-user purchases are cautious, and merchants are eager to ship. In summary, steel prices will continue to fluctuate weakly, and the extent of oversold rebounds is limited, and they will not have sufficient upward momentum.

Operating rates of blast furnaces at Chinese steelmakers