Steel Rises on Improving Profitability

2025-12-18 06:43 By Jam Kaimo Samonte 1 min. read

Steel rebar futures climbed to CNY 3,080 per tonne, a two-week high as expectations of improving steel margins among Chinese producers lifted sentiment.

Falling input costs, including coal and coke, are expected to support profitability among steelmakers, potentially encouraging some mills to increase output.

Industry data showed that only 35% of Chinese steel mills were profitable in November, down from 45% in late October, underscoring ongoing pressures in the sector.

As domestic demand remains weak due to the prolonged property market downturn, China’s steel industry has become increasingly reliant on exports.

Meanwhile, steel prices came under pressure earlier in the week after China’s Ministry of Commerce announced that certain steel products would be placed under an export licensing regime starting January 1.



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