Continuous high API 5L X60 PSL1 steel output

This week, the production of non limited production policy regions is strong, high profits continue to lift the production will of iron and steel enterprises, and the API 5L X60 PSL1 and so on steel output rise may continue in the short term.

This week, the blast furnace operation rate of steel plants stopped falling and rebounded, reaching 61.46%, up 2.30% from last week. In terms of output, the output of hot rolled coil was 3.2194 million tons, with a weekly increase of 2.48%; The output of cold rolled coil was 849100 tons, with a weekly increase of 1.57%. On the other hand, the output of API 5L X60 PSL1 etc. medium and heavy plate decreased to 1299100 tons per week, with a weekly decrease of 1.91%.

In terms of downstream demand, traditional seasonal production and construction demand are superimposed, and the process of social inventory and steel plant inventory removal continues. This week, China's API 5L X60 PSL1 and so on steel social inventory was 16.1223 million tons, down 3.46% from last week. Among them, cold rolled coil inventory, hot rolled coil inventory and medium and heavy plate inventory continued to clear, down 7.77%, 0.35% and 4.97% respectively this week. As the May Day holiday approaches next week, steel enterprises are willing to prepare goods before the festival, and it is expected that the demand side will be further enlarged.