Lengshuijiang Steel to cut construction steel production
2024-03-14 08:25:31 [Print]
BEIJING (Asian Metal) 14 Mar 24 - Lengshuijiang Iron and Steel Co. (Lengshuijiang Steel), one of the major construction steel producers in Hunan, would reduce the production to about 100,000t in March.
"We plan to cut the production of construction steel by about 20,000t MoM to around 100,000t this month due to decreased orders," said a source of the company, adding that customers place orders sparingly at the moment due to the continuous price decrease after the Spring Festival holiday. Besides, they still have zero inventory in hand at present, unchanged from last month.
Based on the annual production capacity of about 3.5 million tonnes of construction steel, the company witnessed an output of about 1.95 million tonnes in 2023 and produced about 245,000t in Jan-Feb of 2024.
The mainstream prices of rebar HRB400 Φ18mm dropped to about RMB3,600/t (USD500/t) D/P in warehouse Changsha on Wednesday, down by RMB30/t (USD4/t) from Tuesday. Insiders predict that Chinese rebar prices would slide further in the coming week on soft demand and decreased raw material prices.
"We plan to cut the production of construction steel by about 20,000t MoM to around 100,000t this month due to decreased orders," said a source of the company, adding that customers place orders sparingly at the moment due to the continuous price decrease after the Spring Festival holiday. Besides, they still have zero inventory in hand at present, unchanged from last month.
Based on the annual production capacity of about 3.5 million tonnes of construction steel, the company witnessed an output of about 1.95 million tonnes in 2023 and produced about 245,000t in Jan-Feb of 2024.
The mainstream prices of rebar HRB400 Φ18mm dropped to about RMB3,600/t (USD500/t) D/P in warehouse Changsha on Wednesday, down by RMB30/t (USD4/t) from Tuesday. Insiders predict that Chinese rebar prices would slide further in the coming week on soft demand and decreased raw material prices.
