China's crude steel output drops 1.4% y-o-y in Jan-Nov'22

China's crude steel output during the period January-November 2022 dropped by 1.4% y-o-y to 935.11 million tonnes (mnt) compared to 944.86 mnt in the same period last year. Crude steel output declined by 6.5% to 74.54 mnt in November 2022 compared to 79.76 mnt preceding month. However, the same rose by 7.3% y-o-y as compared with 69.31 mnt in year ago period as per data released by the National Bureau of Statistics (NBS).

The average daily output of crude steel was down by 3.42% m-o-m to 2.485 mnt in November as compared to 2.573 mnt previous month.

Steel output during January-November 2022 marginally dropped by 0.7% to 1225.53 mnt in comparison to 1216.95 mnt in the same period last year. In November 2022 the same accounted to 109.19 mnt, up by 7.1% y-o-y.

The average daily output of steel for the month of November was down by 1.78% to 3.639 mnt compared to 3.705 mnt in October.

Demand for steel industry were under pressure as construction projects were getting delayed due to subsequent lockdowns imposed following the surge in Covid cases. This, along with the resurgence of Covid cases, forced producers to lower their output. Moreover, the real estate sector crisis and the commence of winter pollution curbs left production on course for a second consecutive annual decline.