Steel inventory in late november witnesses a decrease – Haihao Group keeps an eye on market dynamics
Haihao Group is closely monitoring the changes in the steel market, and the recent data reveals a noteworthy trend in social steel inventory.
According to the latest information from China industrial economic information network on December 11, 2023, the social inventory of five major types of steel in 21 cities decreased by 2.3% compared to the previous month, amounting to 7.55 million tons. This continuous decline represents a reduction of 180,000 tons compared to the previous period and an 11.9% decrease from late October. Despite a 0.4% increase (30,000 tons) since the beginning of the year, the current inventory is still 2.2% higher (160,000 tons) compared to the same period last year.
HAIHAO GROUP
Regional Trends: In late November, regional analysis reveals a decrease in social steel inventory in most areas. Notably, the southern region experienced the most significant reduction, with a decrease of 100,000 tons, marking a 5.0% decline. The central region also witnessed a substantial decrease of 80,000 tons, accounting for an 8.0% reduction—the highest among all regions. Other regions, including the southwest, northwest, and east, experienced reductions ranging from 1,000 to 6,000 tons. However, the northern and northeastern regions reported increases of 60,000 tons (8.0%) and 1,000 tons (2.9%), respectively.
Variety-Specific Inventory Changes: Examining the five major steel varieties, all witnessed a decrease in social inventory. Hot-rolled coil and plate (HRC) experienced the most significant reduction both in quantity and percentage. The HRC inventory is now 1.7 million tons, showing an 8.3% increase since the beginning of the year and an 11.8% rise compared to the same period last year.
HAIHAO GROUP
Implications for Haihao Group: This market trend will play a crucial role in Haihao Group’s decision-making processes regarding material sourcing, production planning, and overall market strategy. The continuous monitoring of such data ensures that Haihao Group remains responsive to market dynamics, providing the best products and services to its clients in a rapidly changing steel environment.