Cautious expansion of carbon steel consumption

In March, the economy recovered steadily and entered the peak season of production and construction. Industrial production remained high, real estate investment remained strong, infrastructure investment accelerated significantly, and domestic carbon steel demand continued to expand.

In April, the momentum of economic growth is strong. In the early stage, the PMI new order index of manufacturing industry and the new order index of construction industry both rise significantly. The manufacturing industry is expected to continue to have a relatively high prosperity. The real estate investment is still resilient in the short term. The construction progress of infrastructure projects is accelerated, and it is in the peak season of carbon steel consumption. The carbon steel demand will continue to have a good trend. However, in the case of high raw material prices, the downstream cost pressure will spread. If the guidance is not smooth, the production and investment willingness of steel enterprises may tend to be cautious, which will inhibit the full release of steel consumption to a certain extent.