Flat Product analysis: China

摘要

Chinese steel prices look to have one further quarter of growth ahead, albeit with a slower rate of increase than we have seen so far this year. Raw material cost pressure appears to have reached its peak for the time being, although there might be consequences if India introduces an export tax on its ore exports. Having cut their exports in the first quarter, Chinese mills may now feel they can target foreign markets, most notably in Europe, for the duration of the third quarter. This may lead to a softening in European prices before the year's end.