CISA predicts steel consumption remained at last year's level
Metallurgical Association of CISA, China unveiled a new forecast. In accordance with the steel products consumption in the country will reach 683 million. Tonnes in 2016. This figure is almost consistent with the results of last year. If there is some improvement, they are insignificant. According to the CISA steel production in 2016 will reach 788 million. Tons. Volumes produced rental amount to 770 million. Tons. Regarding the 2015 decline in both indicators will be about 2% each. Chinese steel exports expected to decrease by 11% to 100 million. Tons. Imported iron ore volumes will be approximately 900 million. Tons. This figure is relatively lower than in 2015 at 5%.
World Steel Association has provided its own data. According to them, in the I quarter of 2016 the Chinese manufacturers smelted 192 million. Tons of steel. This figure compared to last year same period of below 2.3%. However, the results of the March 2016 higher than those in March 2015 by 2.9%. The exported volume of steel in the first quarter amounted to 27.83 million. Tons. This amount compared to 2015 at above 7.9%. Imported iron ore volumes reached 241.6 million. Tons. The indicator has increased by 6.4% compared to the first quarter of 2015. However, April data should show growth industries. The result will be a decrease in external supplies.
To date, China carried out the implementation of a specially developed program. It is aimed at stimulating economic growth. Reaches its activation will be carried out by investment in housing and infrastructure. Also planned investments in high-tech industries. Based on these factors, the analysts of the investment company of the Swiss Credit Suisse made its own forecast. They believe that China's consumption of rolled in 2016 may increase by about 10%.
By the way, the level of expectations of experts concerning steel production reached the highest value in the last 38 months. However, Chinese experts are showing some caution, saying the presence of the negative market trends. Fitch Ratings experts, for example, believe that the expansion of consumption of rolled construction sector due to the seasonality. However, drastic changes are not observed. In the beginning of March, the government announced an accelerated program of construction and investment growth.