The country produced 26.71 million tonnes of crude stainless steel last year, up 940,000 tonnes from 25.77 million tonnes a year earlier, according to the statistics released late on Thursday January 31.
Of the total, 48% or 12.82 million tonnes consisted of 300-series crude stainless steel. This is up 0.8% from an adjusted figure of 12.72 million tonnes for 2017.
For 200-series crude stainless steel, production increased 4.5% to 8.26 million tonnes last year from an adjusted figure of 7.88 million tonnes a year earlier. This means 200-series crude stainless steel accounted for 30.9% of the country’s overall output.
The output for 400-series crude stainless steel rose 7.3% to 5.47 million tonnes from an adjusted 5.08 million tonnes in 2017, the council said. The product accounted for 20.5% of China’s total crude stainless steel output.
China’s output for duplex stainless steel increased 36.5% to 160,660 tonnes in 2018, the council said.
The overall increase in output was due to a mild increase in demand for stainless steel and mills’ healthy profit margins, market sources said.
“Mills’ profits last year were not as good as in 2017, but for most of last year, they were still making profits,” an industry analyst in Shanghai said.
Prices for 304 stainless cold-rolled coil averaged 15,173 yuan ($2,262) per tonne in China’s major Wuxi market in 2018, up 155 yuan per tonne against 15,018 yuan per tonne in 2017, according to Fastmarkets MB’s price archive.
The country’s apparent stainless steel consumption rose 7% to 21.32 million tonnes last year from an adjusted 19.93 million tonnes in 2017, it added.
Stainless steel exports rose 1.3% on the year to 3.99 million tonnes while imports surged by a sharp 53.8% to 1.85 million tonnes, the council said.
The low output growth for 300-series stainless steel and the sharp increase of imports were due to competition from Indonesia.
Producers in Indonesia shipped 300-series stainless steel to both China as well as some of the destination markets for Chinese products, such as Taiwan, market sources pointed out. This made it hard for Chinese output for this segment of stainless steel products to rise significantly, they said.
Cangzhou Steel Pipe Group (CSPG)Co.,Ltd.
No.92 JieFang East Road ,Cangzhou City, Hebei,P.R.China.
CSPG has more than eighteen years history company which located in Lecong Iron and Steel World, a well-known steel distribution center in China, with superior geographical position and convenient water and land transportation.
We are a direct-selling manufacturer specializing in the research and development of spiral steel pipes, steel spiral pipes, anti-corrosion steel pipes inside and outside. Since its inception, the company has been guided by a brand-new thinking of steel pipe product market based on the business philosophy of honesty, pragmatism and knowledge-seeking.