Predictions of steel price in China

In the last article,we analyzed why the steel price soared so fast.As a steel pipeline supplier,now we care more about for the future trend of steel price.Let’s see the below predictions of steel price below.

Some believe that due to many factors, it is difficult for steel prices to fall significantly in 2021, and they will remain high and fluctuating throughout the year.

The China Iron and Steel Association report analyzed that from the demand side, due to the rapid and large increase in steel prices in the early stage, the downstream steel industries such as shipbuilding and home appliances could not bear the continuous high steel prices, and the steel prices could not continue to rise sharply in the later stage.From the data of the recent week,the steel price is decreasing slowly.

Hot dip galvanizing steel pipes

Hot dip galvanizing steel pipes

In the long run, the adjustment of the iron and steel import and export policy will help reduce dependence on imported iron ore and adjust domestic supply and demand; the new version of the “Implementation Measures for Capacity Replacement in the Iron and Steel Industry” will promote structural adjustments in the iron and steel industry and further increase concentration.

The profit margin of the steel industry is kept within a reasonable range to avoid excessive speculation in the capital market, which is conducive to controlling production capacity and stabilizing the market. “We believe that the rise in steel prices is phased. The big ups and downs are phenomena that the industry does not want to see.” Qu Xiuli said.

From the above analyze,we could predict that the steel price may stop the crazy rising and decrease to a reasonable level slowly.But it is difficult to get back to the price of last year.

Whatever the Chinese steel market would be,Haihao Group would always try our best to provide the best piping products at the most reasonable rate.


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