China Steel Rebar Stabilizes as Winter Production Cuts Offset Property Woes

Production Discipline

Mills have defended the 3,000-Yuan support level by keeping blast furnace utilization rates below 80%. This discipline is crucial as coking coal and iron ore costs remain stubbornly high, squeezing steelmaker margins to the limit.

2026 Stimulus Hopes

Traders are closely watching for infrastructure stimulus announcements expected in late February. Any significant move to boost 'new infrastructure' like EV charging networks or smart grids would provide a major demand catalyst for high-strength steel grades.