Baosteel keeps flat steel prices unchanged for the fourth consecutive month

Chinese steel mills refrain from raising prices due to market weakness

China’s leading steelmaker Baosteel maintained the current price levels for flat products for sale on the domestic market in July, Kallanish reports.

This is the fourth month in a row that the company has applied this strategy. The exception was February, when Baosteel raised prices for most types of flat products by 100 yuan per tonne ($14/t) for March sales ahead of the peak season.

The overall decline in steel prices remains the main factor holding back steel mills from raising prices. In addition, July is the traditional off-season in China, so they are likely to remain stable or decline slightly.

Baosteel’s decision is expected to affect East Asian steel mills, which will soon adjust their monthly quotations.

As a reminder, in May 2025, China’s steelmakers increased steel exports by 9.9% compared to May 2024, to 10.58 million tons. The figure was up 1.1% month-on-month.

May exports reached a seven-month high and are the third month in a row when volumes exceed 10 million tons. Analysts note that overseas shipments are being driven by steady supply ahead of schedule, fueled by fears of tariff hikes that could reduce demand.

Steel imports to China last month decreased by 24.5% y/y – to 481 thousand tons. Over 5 months, Chinese producers exported 48.47 million tons of steel (+8.9% y/y), while imports amounted to 2.55 million tons (-16.1% y/y).