Domestic Exports Of Steel Has Decreased Seriously In March

By the domestic downstream consumption is more robust, the national steel to the production capacity and medium / power furnace completely investigated and dealt with the impact of factors such as domestic steel export price advantage was significantly reduced in February domestic steel exports fell even below 600 million mark. The recent steel market prices have come down, but compared to the international market, China's steel export prices are still not dominant, some products CIF prices higher than the competitors 20 US dollars / ton, steel enterprises export orders will not strong.
According to the Shanghai Steel Export Research Group on the domestic steel exports in March survey data show that in March 2017 domestic steel exports continued to decline significantly more than 20% year on year; more than the chain in February rose, the estimated 3 Month exports more than 7 million tons, is still in the past three years, the lower level. Comparison of domestic steel exports in February detailed data, we found that several phenomena worthy of attention.
First, the rod and wire is the main force of export shrinkage, but the chain reduction has been no obvious. February 2017 domestic rod and wire rod exports 1,656,000 tons, down 1.461 million tons, the chain decreased 291,000 tons; rod and wire exports fell by 54.7% of total exports of steel exports, but in January the loss of rod and wire exports Accounting for 82% of total steel exports. Among them, 72283090 under the tariff in February under the export volume of 1.12 million tons, in January exports of 1.18 million tons. It can be seen, the late bar and wire rod export reduction gradually increased the difficulty, in fact, last year, the largest rod and wire rod exports reached 4.87 million tons.
Second, the decline in export volume of plate to increase worthy of attention. February 2017 domestic exports of 3.2 million tons of sheet metal, down 53.6 million tons, the chain decreased by 725,000 tons. February exports of steel exports accounted for the proportion of steel exports fell from 0.4% in January to 20.7% worthy of attention. At present, the profit margins of domestic sheet metal production enterprises are obviously smaller than those of the construction steel plate, and the stock of plate material is also at a high level. If the post-plate enterprises increase the export volume, the domestic supply pressure of the plate may be weakened, and the stock of the plate material will be reduced.
In general, the cost of hot roll production is higher than rebar, but the current domestic hot roll price is lower than the rebar, futures main contract also showed a hot roll price is lower than the phenomenon of rebar. From the export point of view, the bar and wire exports continue to reduce the amount of space is limited, more early reduction of plate varieties, some companies have recently considered to increase the export orders of the plate, the late volume or gradually correction.
On the current situation of domestic steel exports, the first half of 2017 domestic steel exports fell more than 13 million tons a year. According to Mysteel, the total domestic steel exports in the first quarter were about 20.67 million tons, down by more than 7 million tons. Taking into account the second quarter of 2016 steel export base is larger, 2017 2Q steel exports fell by 2 million tons a year probability is relatively large, so the first half of the export reduction of more than 13 million tons, the annual export reduction should be achieved 18 million tons.