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Chinese steel market boosted by official investment plan

Chinese steel market is expected to be recovered soon in the second quarter, driven by the government 4 trillion investment plans.
Mills restart production and many construction projects have been on their way. Steel market price is getting more stabilized and some have rebounded dramatically. However, traders are complaining on lacking of new orders.
Steel giants such as Baosteel and Wisco have increased their benchmark price in March. Experts analyze the price rebounded is mainly from shortage in stocks, increasing raw material prices and series government policies launched.
Although the internal market is vivid, Chinese mills are losing competencies in export market due to unattractive prices. Source: Yieh.com

Feb 19, 2009 10:09
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