Bayi Steel to expand HRC production
2023-04-24 08:19:29 [Print]
BEIJING (Asian Metal) 24 Apr 23 - Acting as the largest HRC producer in Northwest China, China Baowu Steel Group Corporation Limited (Baowu Group) Xinjiang Bayi Iron and Steel Co. (Bayi Steel) estimates that the output of HRC would reach 210,000t in May, up from 150,000t in April.
"We plan to run fully of the only 1,750mm HRC production line in May, and the output might see the MoM rise of 60,000t to 210,000t," disclosed a sales official from Bayi Steel. According to him, April and May act as the traditional peak season for HRC in Xinjiang, stimulating the mill to produce actively. However, Bayi Steel faces sales pressure now as end users tend to hold back from placing orders discouraged by the downward price trend.
With an annual production capacity of 3.5 million tons, Bayi Steel recorded the output of approximately 450,000t in the first quarter of 2023, against 1.64 million tons or so in 2022. The mill does not hold any stock right now.
Presently, the prevailing price of HRC Q235B 5.5mm*1,500mm*C stands at RMB4,300/t (USD624/t) D/P in warehouse Urumqi, Xinjiang, down by RMB50/t (USD7/t) from Friday. The market runs slowly as end users remain cautious about purchasing discouraged by the downward price trend.
"We plan to run fully of the only 1,750mm HRC production line in May, and the output might see the MoM rise of 60,000t to 210,000t," disclosed a sales official from Bayi Steel. According to him, April and May act as the traditional peak season for HRC in Xinjiang, stimulating the mill to produce actively. However, Bayi Steel faces sales pressure now as end users tend to hold back from placing orders discouraged by the downward price trend.
With an annual production capacity of 3.5 million tons, Bayi Steel recorded the output of approximately 450,000t in the first quarter of 2023, against 1.64 million tons or so in 2022. The mill does not hold any stock right now.
Presently, the prevailing price of HRC Q235B 5.5mm*1,500mm*C stands at RMB4,300/t (USD624/t) D/P in warehouse Urumqi, Xinjiang, down by RMB50/t (USD7/t) from Friday. The market runs slowly as end users remain cautious about purchasing discouraged by the downward price trend.
