Bayi Steel to increase HRC production
2023-03-28 08:20:09 [Print]
BEIJING (Asian Metal) 28 Mar 23 - China Baowu Steel Group Corporation Limited (Baowu Group) Xinjiang Bayi Iron and Steel Co. (Bayi Steel), the largest HRC producer in Northwest China, plans to produce 200,000t of HRC in April, up from 150,000t in March.
"We will run the only 1,750mm HRC production line fully in April supported by the sufficient orders, and the output would see the MoM hike of 50,000t to 200,000t," stated a sales official from Bayi Steel. "We failed to run the line smoothly in the first half of the month after the suspension in late February," added the source. In the meantime, he disclosed that lots of orders accumulated in February and March left to deliver in April. The source shows little confidence in the market prospect and worries about a price decline in April.
Reporting an annual HRC production capacity of 3.5 million tons, Bayi Steel might produce 450,000t of HRC in the first quarter of 2023, against 1.64 million tons or so in 2022. Bayi Steel holds no stock for the moment.
The current mainstream price of HRC Q235B 5.5mm*1,500mm*C hovers at RMB4,500/t (USD654/t) D/P in warehouse Urumqi, Xinjiang, the same as late last week. The market runs slowly dragged by the sluggish demand from downstream industries, while traders remain reluctant to move down prices further seeing the losses.
"We will run the only 1,750mm HRC production line fully in April supported by the sufficient orders, and the output would see the MoM hike of 50,000t to 200,000t," stated a sales official from Bayi Steel. "We failed to run the line smoothly in the first half of the month after the suspension in late February," added the source. In the meantime, he disclosed that lots of orders accumulated in February and March left to deliver in April. The source shows little confidence in the market prospect and worries about a price decline in April.
Reporting an annual HRC production capacity of 3.5 million tons, Bayi Steel might produce 450,000t of HRC in the first quarter of 2023, against 1.64 million tons or so in 2022. Bayi Steel holds no stock for the moment.
The current mainstream price of HRC Q235B 5.5mm*1,500mm*C hovers at RMB4,500/t (USD654/t) D/P in warehouse Urumqi, Xinjiang, the same as late last week. The market runs slowly dragged by the sluggish demand from downstream industries, while traders remain reluctant to move down prices further seeing the losses.
