Chinese Steel Prices Consolidate Amid Baosteel Hikes and Seasonal Restocking

Raw Material Push

The price adjustment by major mills like Yonggang and Baosteel is primarily a response to rising input costs for iron ore and coal. While domestic construction remains weak, the surge in AI infrastructure and shipbuilding demand is providing a floor for industrial grade steel.

Macroeconomic Sentiment

Speculation regarding a ceasefire in Ukraine and expectations of further US rate cuts have improved global steel sentiment. In Asia, prices have begun to rebound for four consecutive weeks as traders build stocks ahead of the Lunar New Year.