According to the SMM survey, on August 14, the operating rate of blast furnaces surveyed by SMM was 91.42%, down 0.95% WoW. The capacity utilization rate of blast furnaces was 93.54%, down 0.96% WoW. The average daily pig iron output of the sample steel mills was 2.2421 million mt, down 25,100 mt WoW.
During this period, six blast furnaces were under maintenance, including two in North-east China, three in North China, and one in Central China. Three blast furnaces resumed production, including two in North China and one in North-east China. Due to the continuous decline in the end-user steel market, bearish sentiment in the market is growing. Steel mills are experiencing significant losses, leading to an increase in maintenance activities. Looking ahead, with the arrival of the traditional peak season in September and the continued concessions on coke prices from upstream raw materials, the production enthusiasm and losses of steel mills may be alleviated. It is expected that the pig iron output of steel mills will resume in the future.
