Morning Bites (part 1)

🔗China’s crude steel output declined 4% YoY in January-February, vs. the 10% YoY drop seen in December, per NBS data. Despite the continuous contraction of local crude steel supply (also -4% YoY in 2025, per official data), Chinese net steel export volumes remain at elevated levels, weighing on global steel prices

Given the prolonged crisis on the global steel market, Beijing might introduce additional supply control measures similar to those imposed in 2016-17, we believe. Beijing has already strictly prohibited new capacity additions in 2026

🏢China's property sales decreased 14% YoY in January-February, after the 17% YoY fall in December; they were also 46% lower than in the same month in 2021. Meanwhile, floor space starts dropped a further 23% YoY in 2mo26 (-70% vs. 2021). Personal mortgage loans also declined 42% YoY last two months (-77% vs. 2021), while property completions were down 28% YoY

#steel #property