FOCUS: Chinese steel prices not shaken by plan to extend limits in Tangshan

Fresh restrictions on production planned for China’s steelmaking hub of Tangshan in the northern region do not appear to have had any effect on steel prices, market sources told Fastmarkets MB.

Local authorities intend to extend production limits imposed on heavy industries beyond the winter heating season - which concludes at the end of March - to the April-September period to preserve air quality, according to reports by local information providers quoting a draft plan. Market participants are not expecting this to have any significant influence on steel prices, at least not for the near term. “This news will not boost steel prices ahead of the Chinese New Year because of the weak seasonal demand [before the holiday],” a source at a mill in Tangshan, in Hebei province, said. “We have to consider...

Published

Jessica Zong

Miranda Song

January 25, 2019

11:30 GMT

Shanghai