As such, market participants are expecting steel prices to experience some short-term fluctuation, albeit in a narrow range.
"Spot prices in the coming weeks will depend on whether Tangshan strictly implements production curbs and the progress of the China-US trade negotiations. Supply and demand are not expected to experience any sharp changes,” an industry analyst in Shanghai said earlier this week.
Local authorities in Tangshan - China’s steelmaking hub in the northern region - have instructed steelmakers under their jurisdiction to cut production by 20-50% this month to improve air quality as part of the country’s ongoing "Blue Skies" policy, with details of the cuts announced late-April.
Steel mills in the districts of Lubei, Kaiping, Guye, and Fengnan, the cities of Qian’an and Luanzhou, and Luannan county, must at...