According to the reported compiled by CISA recently, the expectation for the domestic steel market is still gloomy. First of all, steelmakers have already resumed their production activities gradually, thus the replenishments in the upcoming future may ramp up. Secondly, influenced by the soft market conditions, traders and final customers are reluctant to stock up materials just like the years before. As a result, the current social inventories are still remaining at low levels. Thirdly the iron ore market is also bland. Obviously the current production cost can not boost the steel prices and most steelmakers launched flat price policies for the shipments of next January. Fourthly the international economic conditions are also severe. Thereby the steel exports will continue remaining at soft levels.
To sum up, affected by the above factors, the economic growth for the downward industry is set to roll back in the short run and plus the seasonal effects, the steel demand will hover around soft levels and the domestic steel price is anticipated to continue resting on bottoms in the upcoming future