Improved Downstream Purchase Willingness Shifts Building Materials Social Inventory from Slight Destocking

Building Materials Social Inventory: According to the SMM survey, total building materials social inventory continued destocking this period. As of August 27, 2026, SMM building materials social inventory stood at 5.5369 million mt, down 12,200 mt WoW, a decrease of 0.22%. During the survey period, futures surged significantly, markedly boosting market trading sentiment compared to earlier, and driving overall inventory destocking.

Regional Social Inventory: Currently, inventory performance continued to diverge across regions. Among them, inventory in east China shifted from decline to increase, mainly as the impact of earlier port closures had subsided, and concentrated arrivals of building materials in Hangzhou and Shanghai areas led to inventory accumulation. Destocking in the northwest region was relatively pronounced, primarily because local steel mills continued to ship resources outward, with local supply decreasing, coupled with some improvement in downstream demand and higher purchase enthusiasm, driving inventory destocking. In other regions, sentiment also recovered due to movement in futures, with downstream clients' purchase willingness strengthening, and inventory destocked normally.