Winter is coming for China's steel market in Dec

Chinese steel prices are likely to edge down this month as domestic steel demand may weaken further while supply remains abundant, predicted Wang Jianhua, Mysteel's chief analyst, in his monthly outlook. The incentive policies announced by China's central government in November to bolster the economy and reinforce consumer confidence seem unlikely to inject any real power to the steel market in the short term, he noted.

During November 1-29, China's composite steel price under Mysteel's assessment averaged Yuan 4,060.6/tonne ($568.2/t), down Yuan 107/t from that over October 8-31. The rapid rise of COVID-19 cases across the country became one of the major drags on steel consumption last month because industrial production and logistics were frequently disrupted