Operating rate of BF steel mills rose as profitability improved significantly

Published: Nov 20, 2023 12:00

Source: SMM

Save

On November 15, the operating rate of BFs was up 0.73 percentage points WoW at 90.63%.

On November 15, the operating rate of BFs was up 0.73 percentage points WoW at 90.63%. The capacity utilisation rate was 91.95%, up 0.78 percentage points WoW. The daily average pig iron production of sample steel mills was 2.1999 million mt, up 21,900 mt WoW. Recently, taking cues from narrowing losses, steel mills’ enthusiasm for production picked up, boosting the operating rate of BFs. Looking at this week, underpinned by prolonged steel price uptick, some steel mills will turn around failing businesses, and have great incentive to produce goods. In addition, there will a plan of restart of some BFs from maintenance. However, there will be a question mark over iron ore demand, in view of environmental protection-related production limits and a slack season. The operating rate of BFs and pig iron output will probably fall short of expectations.

Market forecast Market review

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.

For any inquiries or to learn more information, please contact: lemonzhao@smm.cn

For more information on how to access our research reports, please contact:service.en@smm.cn

Related News

9 hours ago

[SMM Steel] SMS Group wins SAIL Durgapur billet caster modernization project

[SMM Steel] Germany’s SMS Group secured a contract from India’s SAIL to modernize billet casters at the Durgapur Steel Plant. The upgrade of two six-strand casters is expected to boost production capacity by over 60% and introduce a 150 mm × 150 mm billet section to support downstream rebar and wire rod production. The project will be implemented in two phases, with commissioning planned for Q4 2027 and Q3 2028.

9 hours ago

[SMM Steel] US drawn wire exports rise 12.5% MoM in January 2026

[SMM Steel] US drawn wire exports totaled 6,737 mt in January 2026, up 12.5% MoM but down 15% YoY, according to the US Department of Commerce. Canada remained the top destination with 2,831 mt, followed by Mexico at 2,702 mt, while export value reached $18.1 million.

9 hours ago

[SMM Steel] Eurofer urges EU to act fast as global steel overcapacity hits record 2.4 billion mt

[SMM Steel] On March 25, 2026, the European Steel Association (Eurofer) issued a stark warning following the release of the latest OECD data, labeling global steel overcapacity an "existential threat" to European steelmaking, investment, and jobs. The data reveals that global steelmaking capacity has climbed to a record 2.4 billion mt, with excess capacity reaching 640 million mt in 2025—exceeding total OECD production by over 200 million mt. Eurofer Director-General Axel Eggert is calling for the immediate adoption of a robust tariff-rate quota (TRQ) system to shield the EU market from trade diversion and stabilize the domestic industry before current measures expire

9 hours ago