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Downstream industry heating 1 - February crude steel production increased by 5.8%

Time: 2017-03-16 │ Click: 

With the real estate, automobile and other downstream industries to pick up, the first two months of this year, steel production and sales data as a whole higher. National Bureau of Statistics released on the 14th data show that from January to February this year, the national steel production 16.6550 million tons, up 4.1%; crude steel production 128.77 million tons, up 5.8%; crude steel apparent consumption of 117.33 million tons, year on year An increase of 11.6%; pig iron production 113.54 million tons, an increase of 5.6%.

"Automotive and real estate two major steel downstream industry performance data than expected, verify the beginning of the steel demand is relatively strong, steel prices are supported." Analysts on China Securities Network reporter said.

2017 in January-February, the national real estate development investment 985.4 billion yuan, up 8.9% year on year growth rate increased by 2 percentage points over the previous year. January-February, real estate development enterprises housing construction area increased by 3.2%, growth rate last year, flat. Among them, the residential construction area increased by 2.1%. Housing new construction area increased by 10.4%, growth rate increased by 2.3 percentage points.

In addition, the rapid growth of automobile production. January to February this year, automobile production 4.59 million, an increase of 11.1%; car production 188.5 million, an increase of 6.3%. The automobile industry grew 17.0%.

From January to February of 2017, the national fixed assets investment (excluding farmers) was 413.78 billion yuan, up by 8.9 percent year on year, and the growth rate was 0.8 percentage points higher than that of last year. In the tertiary industry, investment in infrastructure (excluding electricity, heat, gas and water production and supply) was 831.5 billion yuan, up 27.3 percent year on year and 9.9 percentage points higher than last year.

However, steel prices rose to close to 4,000 yuan / ton price still face pressure. "The main concern from the domestic price even more than the international market prices, resulting in a significant reduction in steel exports, and there are still signs of increased imports, which is the need for vigilance." Analysts said.

January-February, China's exports of steel 13.17 million tons, down 25.7% year on year. Which in February fell nearly 30% year on year.

Analysts said the current steel mills in the profit of five or six hundred tons of high profits, the latter part of the output or will continue to grow. If there is another increase in imports, exports to reduce the situation, will undoubtedly increase the pressure on the domestic market late.

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