SHANGHAI Chinas daily crude steel output continued to drop in mid-October, with the steel market yet to see any sign of improvement.
The country produced 2.11 million tonnes of crude steel per day in the second 10 days of October, down 1 percent from the first 10 days of the month, according to China Iron and Steel Association (Cisa) estimates.
Output by Cisas member mills, mainly medium-sized and large steelmakers, averaged 1.71 million tonnes per day in mid-October, down almost 3 percent from the first 10 days of the month.
The decline was anticipated as the countrys steel market has been underperforming since the beginning of September.
Hot-rolled coil prices in Shanghai were in a range of 3,430 to 3,460 yuan ($560 to $565) per tonne Oct. 25, down 170 to 180 yuan ($28 to $29) per tonne from Aug. 30, according to AMM sister publication Steel First.
The prolonged sluggishness in the steel market and a squeeze on profits have led some mills to consider production cuts in a bid to support prices, but large-scale mill maintenance or production cuts havent been reported thus far.
Inventories held by Cisa member mills totaled nearly 13.79 million tonnes Oct. 20, up 2 percent from 10 days earlier.
A version of this article was first published by AMM sister publication Steel First.