Bayi Steel to reduce construction steel output
2024-03-20 08:27:02 [Print]
BEIJING (Asian Metal) 20 Mar 24 - Baowu Group Bayi Iron and Steel Co. (Bayi Steel), the largest producer of construction steel in Xinjiang, would cut the production to about 270,000t this month, said a source of the company.
"We plan to reduce the production of construction steel from about 290,000t in February to around 270,000t in March because of the decreased supply of raw materials," explained the source, adding that they have a stockpile of about 310,000t in hand at present, up by around 110,000t MoM.
With a total annual production capacity of about five million tonnes of construction steel in three production bases, Bayi Steel produced around 3.66 million tonnes last year and about 550,000t in Jan-Feb of 2024.
The mainstream prices of rebar HRB400E Φ20mm from Bayi Steel hovered at about RMB3,500/t (USD486/t) in Xinjiang on Tuesday, unchanged from Monday. Insiders predict that Chinese construction steel prices would drop in the coming week because of weak demand and decreased raw material prices.
"We plan to reduce the production of construction steel from about 290,000t in February to around 270,000t in March because of the decreased supply of raw materials," explained the source, adding that they have a stockpile of about 310,000t in hand at present, up by around 110,000t MoM.
With a total annual production capacity of about five million tonnes of construction steel in three production bases, Bayi Steel produced around 3.66 million tonnes last year and about 550,000t in Jan-Feb of 2024.
The mainstream prices of rebar HRB400E Φ20mm from Bayi Steel hovered at about RMB3,500/t (USD486/t) in Xinjiang on Tuesday, unchanged from Monday. Insiders predict that Chinese construction steel prices would drop in the coming week because of weak demand and decreased raw material prices.
