Xinsteel reduces HRC production
2023-04-19 08:17:27 [Print]
BEIJING (Asian Metal) 19 Apr 23 - Xinyu Iron and Steel Group Co. (Xinsteel), a leading HRC producer in Central China, estimates that the output of HRC would achieve 320,000t in April, down from 420,000t in March.
"We conducted the 7-day facility maintenance on the only 1,580mm HRC production line on April 12 and will resume production on April 19. The output in April would witness the MoM drop of 100,000t to 320,000t," stated a sales official from Xinsteel. Meanwhile, the source disclosed that as end users remain cautious about purchasing discouraged by the downward price trend, the mill faces sales pressure at the moment. The source shows little confidence in the market prospect and worries a further price decline in the remainder of this month.
Based on an annual HRC production capacity of 5.2 million tons, Xinsteel recorded the output of around 1.24 million tons from January to March of 2023 and 4.7 million tons in 2022. Xinsteel does not hold any stock for the moment.
Currently, the prevailing price of HRC Q235B 5.5mm*1,500mm*C hovers at RMB4,230/t (USD616/t) D/P in warehouse Shanghai, up by RMB30/t (USD4/t) from Monday. Facing the sudden price rebound after the continuous declines in recent one month, downstream customers remain inactive in placing orders.
"We conducted the 7-day facility maintenance on the only 1,580mm HRC production line on April 12 and will resume production on April 19. The output in April would witness the MoM drop of 100,000t to 320,000t," stated a sales official from Xinsteel. Meanwhile, the source disclosed that as end users remain cautious about purchasing discouraged by the downward price trend, the mill faces sales pressure at the moment. The source shows little confidence in the market prospect and worries a further price decline in the remainder of this month.
Based on an annual HRC production capacity of 5.2 million tons, Xinsteel recorded the output of around 1.24 million tons from January to March of 2023 and 4.7 million tons in 2022. Xinsteel does not hold any stock for the moment.
Currently, the prevailing price of HRC Q235B 5.5mm*1,500mm*C hovers at RMB4,230/t (USD616/t) D/P in warehouse Shanghai, up by RMB30/t (USD4/t) from Monday. Facing the sudden price rebound after the continuous declines in recent one month, downstream customers remain inactive in placing orders.
