Morning Bites (part 1)

🔗China’s net finished steel exports rose 3% YoY in July, decelerating from the 7% YoY gain in June. On a 7mo26 basis, net exports were still down 4% YoY. Although China aims to further reduce “excessive” steel output in 2026 (which was also 4% lower YoY in 2025) net exports remain close to historical highs (after the 25% and 8% YoY growth in 2024 and 2025, respectively). The current five-year plan lacks explicit targets for capacity cuts; however, we believe that further gradual supply-side measures could help rebalance the market and support steel prices

🪨China’s coal imports jumped 21% YoY in July, remaining at elevated levels, same as in June (+29% YoY). According to Reuters, the dynamics were mainly associated with the dramatic underground accident in late May, which triggered massive security checks across Chinese coal mines

#coal #steel