Baosteel cuts July prices

Write: Aijah [2011-05-20]

Tags: steel prices

Beset by dwindling orders, Baosteel plans to cut July prices of hot-rolled products by 400 yuan, or about 10 percent, cold-rolled products by 800 yuan per ton and auto steel and high strength steel by 1,300 yuan per ton, or 17 percent.

China registered a 14 percent month-on-month decline in car output and sales in May with output falling for a second straight month. The market of home appliances was also faltering somewhat. Overall demand will be weaker in the second half of this year than the first half. It is almost impossible for the steel prices to bounce in the first half of this year. The impact of the real estate policy on investment and housing starts will begin to work in the latter half of this year or throughout next year.