Morning Bites (part 1)

🔗China’s net finished steel exports jumped 16% YoY in April, after the 7% YoY gain in March, amid persistently soft domestic demand. To recap, the Chinese authorities are considering cutting local steel output in 2025, in an attempt to restore market balance and profitability at mills. Although the measure’s size was not specified, market participants expect China’s steel supply to decline 2-5% YoY this year. On our numbers a 2-3% output cut could normalise abnormal Chinese net export volumes (which grew 25% YoY in 2024)

🪨China’s coal imports dropped 16% YoY in April, accelerating from the -6% YoY in March. According to Reuters, the decrease was both due to a high base effect from 2024 (when a series of mine accidents in Shanxi coal hub drove up imports) and record output coupled with soft domestic demand that led to elevated inventories

#coal #steel 
https://metals-wire.com/news-reports