Steel exports from China in January-September rose to an 8-year high

Shipments increased by 21.2% y/y

China’s steel exports in January-September 2024 increased by 21.2% compared to the same period in 2023 to 80.71 million tons. The figure is the highest in the last 8 years, according to Kallanish.

In September, Chinese steel exports reached 10.15 million tons, up 6.9% month-on-month and 25.9% y/y. At the same time, export revenues in January-September decreased by 5% compared to the same period in 2023 – to $65.4 billion, showing a decline in average steel prices during the period.

On October 11, the China Iron and Steel Association (CISA) discussed with the largest Chinese steel producers further regulation of steel exports with VAT evasion, a possible tax rebate for high quality steel exports, and restrictions to curb low quality steel exports.

Iron ore imports to China in September 2024 increased by 2.7% m/m and 2.9% y/y – to 104.1 million tons. For 9 months, the figure reached 918.9 million tons, up 4.9% y/y. Import costs increased by 4.1% y/y – to $102.6 billion.

In September, steel imports to China amounted to 554 thousand tons (+8.8% m/m; -13.4% y/y). In January-September, import volumes decreased by 9% y/y – to 5.2 million tons, while import costs decreased by 9.8% y/y – to $8.7 billion.

As GMK Center reported earlier, in 2023, China increased its exports of steel products by 36.2% compared to 2022, to 90.3 million tons. Steel imports to China amounted to 7.64 million tons, down 27.6% y/y. Ore imports for the year increased by 6.6% compared to 2022 to 1.179 billion tons.

In 2023, China produced 1.019 billion tons of steel, up 0.6% from 2022. The downward trend in the country’s steel industry has stopped after two consecutive years of declining production.