Just-in-time becomes the dominant procurement strategy for Chinese steel mills

摘要

October was the 4th consecutive month of declining export orders index for Chinese steel mills, andthough one of the key reasons for the fall in September was the early customs clearance for exporttonnage on account of Golden Week, the 19.8% m/m fall in October was indicative of the increasingresistance to Chinese steel exports. CRU believes some BF maintenance announcements duringSeptember-October is the starting of a wider based production cut across Chinese steel sector,especially with the approach of the winter season, one of traditionally weak demand.