[SMM Steel Market Morning Briefing] Preview: The People's Bank of China, China Securities Regulatory Commission, and other departments will make announcements at 9 a.m. on the 7th, introducing the situation regarding the "package of financial policies to s

★Macro★

01 ★★★ 

【Preview: PBOC, CSRC, and Other Departments to Speak at 9 AM on May 7, Introducing "A Package of Financial Policies to Stabilize the Market and Expectations"】

The State Council Information Office announced on May 6 that it will hold a press conference at 9 AM on May 7. Officials from the People's Bank of China, the National Financial Regulatory Administration, and the China Securities Regulatory Commission will introduce the "package of financial policies to stabilize the market and expectations" and answer questions from reporters.

02 ★★★ 

【Finance Minister Lan Fo'an: China Will Adopt More Proactive Macro Policies, Confident in Achieving the 2025 Growth Target of Around 5%】

From May 4 to 7, the 58th Annual Meeting of the Asian Development Bank (ADB) Board of Governors was held in Milan, Italy. Finance Minister and ADB China Governor Lan Fo'an attended and delivered a speech, also conducting a series of bilateral talks. Vice Finance Minister and ADB China Deputy Governor Liao Min accompanied him. Lan Fo'an pointed out that China is both a beneficiary and a contributor to economic globalization, with its contribution to global economic growth remaining around 30% in recent years. In Q1, China's GDP grew by 5.4% YoY, achieving a good start. China will adopt more proactive macro policies and is confident in achieving the 2025 growth target of around 5%. China will continue to build a unified domestic market, expand high-level opening-up, share development opportunities and dividends with the world, especially Asia-Pacific members, and jointly address challenges to create a better future for the Asia-Pacific region. During the meeting, Lan Fo'an held bilateral meetings or exchanges with ADB President Masatsugu Asakawa and others, mainly discussing the future development of the ADB, sharing China's development experience, and cooperation between China and the ADB.

03 ★★  

【Global Manufacturing PMI Continued to Decline in April, Downward Pressure on the Economy Increased】

The China Federation of Logistics & Purchasing released the global manufacturing PMI for April today (May 6). The index has been operating below 50% for two consecutive months, indicating increased downward pressure on the global economy. The global manufacturing PMI for April was 49.1%, down 0.5 percentage points MoM, marking the second consecutive monthly decline. Analysis suggests that the continued weakness in global manufacturing reflects the pressure on the global economy. Due to the impact of US tariff hikes, the risk of a global economic downturn is gradually increasing.

04  ★★  

【South Korea Issues Final Anti-Dumping Ruling on Cold-Rolled Stainless Steel Coils from Vietnam】

The Korea Trade Commission issued Announcement No. 2025-7, making an affirmative final anti-dumping ruling on cold-rolled stainless steel coils originating from Vietnam, recommending that the Ministry of Economy and Finance impose anti-dumping duties on the products for five years.

★Industry and Downstream★

01 ★★★ 

【SMM Electric Furnace Survey】

According to the SMM survey, as of May 6, the operating rate of 50 major steel mills producing building materials nationwide was 36.52%, down 1.82% MoM; the capacity utilization rate was 36.99%, down 0.89% MoM; the daily average production of building materials was 82,400 mt, down 2,000 mt MoM.

02 ★★★ 

【SMM Monthly Coal and Coke Shipping】

According to the latest SMM shipping data, the total domestic coal port arrivals in April were 32.199 million mt, down 3.7% MoM and 8.6% YoY. Among them, the total port arrivals at Guangzhou Port in April were 4.523 million mt, up 2.2% MoM and 28.7% YoY.

03 ★★★

【SMM Monthly Shipping Data】

SMM's global iron ore shipments in April 2025 totaled 136.762 million mt, down 9.4% MoM. Among them, South Africa and other non-mainstream countries saw significant declines, with South Africa down 14.5% MoM. Australia's shipments fell by 9.3%, while Brazil's shipments saw a relatively small decline of 4.5%. On a YoY basis, only Brazil's shipments increased, up 6.5%, while other countries saw slight declines. China's iron ore port arrivals in April 2025 totaled 104.507 million mt, up 0.8% MoM. Ports with significant increases included Bayuquan Port and Jingtang Port, while Qingdao Port and Tianjin New Port saw larger declines. On a YoY basis, port arrivals continued to decline slightly by 2.6%.

04 ★★ 

【Shanghai Property Market Continued to Improve During the Labour Day Holiday, Trading Volume Up 36% YoY】

According to the Shanghai Housing Administration Bureau, during this year's Labour Day holiday, the Shanghai property market continued to stabilize and improve, with the trading volume of primary and secondary homes up 36% YoY. In the primary housing market, statistics from the Shanghai Housing Administration Bureau showed that during the Labour Day holiday, the trading volume of primary homes in Shanghai increased YoY, with the five-day holiday trading volume up 12% YoY.

05 ★★ 

【Shenzhen Real Estate Intermediary Association: Secondary Housing Recorded Volume in April Fell 14.4% MoM】

According to statistics from the Shenzhen Real Estate Intermediary Association, the recorded volume of secondary housing in Shenzhen in April 2025 was 6,597 units, down 14.4% MoM and up 33.5% YoY. The secondary housing market continued to perform well in April, with a strong "Silver April." As of April 30, 2025, according to statistics from the Shenzhen Real Estate Information Platform, the number of effective secondary housing listings in the city was 72,391 units, up 801 units from the 71,590 units recorded in the previous month, a 1.1% increase MoM, indicating that homeowners' willingness to sell remained high.

06 ★★ 

【Major Projects Started in Q1, with 182 Projects Valued at Over 1 Billion Yuan】

The latest tax data from the State Taxation Administration shows that in Q1 2025, the number of projects declared for work injury insurance nationwide reached 39,000, up 9.4% YoY; the total project value reached 1.9 trillion yuan, up 4.8% YoY. China's key projects are progressing smoothly, with good growth momentum in project investment, especially after March, when project construction accelerated significantly. Tax data shows that in March, the number of declared projects was 18,000, accounting for 46.5% of the total in Q1; the declared total project value was 0.8 trillion yuan, accounting for 43.9% of the total in Q1. In Q1, there were 182 major projects with a total value of over 1 billion yuan, up 41.8% YoY; the total project value was approximately 340 billion yuan, up 39.1% YoY.

★Other Hot Topics★

⭕【US Trade Deficit Expanded to a Record $140.5 Billion in March】The US trade deficit in March was $140.5 billion, compared with an estimated deficit of $137.2 billion and a previous deficit of $122.7 billion. Among them, US exports in March were $2,784.6 billion, up 0.2% YoY; imports were $4,189.6 billion, up 4.4% YoY.

⭕【Seres: NEV Sales in April Increased 12.99% YoY】Seres (601127.SH) released its production and sales report for April 2025. The company's NEV production was 34,283 units, up 32.03% YoY, and sales were 31,488 units, up 12.99% YoY. Among them, Seres vehicle sales were 27,203 units, up 9.35% YoY.

⭕【Heavy Rainfall in Southern China May Cause Floods in Some Rivers, Latest Deployment by the Ministry of Water Resources】According to forecasts, from May 7 to 10, most of Jiangnan, eastern and northern South China, eastern Southwest China, and southern Jianghuai will experience a heavy rainfall process, with heavy to torrential rain in eastern and southern Hunan, central and eastern Jiangxi, western Zhejiang, western Fujian, southern Anhui, and northeastern Guangxi. Affected by this, major rivers such as the Xiangjiang, Zishui, and Yuanjiang in the Dongting Lake system in Hunan, the Ganjiang, Fuhe, and Raohe in the Poyang Lake system in Jiangxi, the Guijiang in Guangxi, the Minjiang in Fujian, and the Qiantangjiang in Zhejiang will experience significant water level rises, with some rivers in the heavy rainfall areas potentially exceeding warning levels.