Lingyuan Steel to reduce construction steel output
2023-04-05 08:53:24 [Print]
BEIJING (Asian Metal) 5 Apr 23 - As a major construction steel producer in Northeast China, Lingyuan Iron and Steel Co. (Lingyuan Steel) plans to produce almost 130,000t of construction steel in April, down from 210,000t in March.
"We decided to cut construction steel output by nearly 38.1% MoM to 130,000t in April and allocate more iron melt to round bar production accordingly," said a source from Lingyuan Steel, adding that construction steel market outlook is unpromising and they have many difficulties in getting profit by producing construction steel. Round bar market performed better than construction steel market did in the past month.
Lingyuan Steel owns an annual production capacity of 2.5 million tons for construction steel and recorded an output of roughly 2.4 million tons in 2022. It produced almost 570,000t of construction steel in the Q1 of this year, holding no stock at present.
In Beijing, the price of rebar HRB400E Φ20mm from Lingyuan Steel stood at around RMB4,060/t (USD590/t) on Tuesday, down by RMB40/t (USD6/t) from Monday. Due to slow market performance and bearish attitudes from suppliers, construction steel prices would go down further in following days of this week.
"We decided to cut construction steel output by nearly 38.1% MoM to 130,000t in April and allocate more iron melt to round bar production accordingly," said a source from Lingyuan Steel, adding that construction steel market outlook is unpromising and they have many difficulties in getting profit by producing construction steel. Round bar market performed better than construction steel market did in the past month.
Lingyuan Steel owns an annual production capacity of 2.5 million tons for construction steel and recorded an output of roughly 2.4 million tons in 2022. It produced almost 570,000t of construction steel in the Q1 of this year, holding no stock at present.
In Beijing, the price of rebar HRB400E Φ20mm from Lingyuan Steel stood at around RMB4,060/t (USD590/t) on Tuesday, down by RMB40/t (USD6/t) from Monday. Due to slow market performance and bearish attitudes from suppliers, construction steel prices would go down further in following days of this week.
