Steel mills starts up or suppress rising steel prices

As & other; Golden nine silver ten & throughout; The arrival of the traditional peak season, steel mills production enthusiasm is aroused. Beijing commercial daily reporter learned from relevant agencies that currently end mills and began to gradually and production, capacity utilization has increased compared with before. But the improvement of production for long-term supply of steel industry is not a good news. According to the relevant institutions for small and medium-sized steel mill buildings in northern steel starts earlier this month, statistics of tangshan starts up to 73. 100% 4%, and 96% in shanxi, handan, henan in 82. Shandong 8%, 96%, 96% northeast area, the average is 90. 7%, the overall growth of 3. 35%. Steel mill starts rise will directly affect the steel inventories and ex-factory price changes. Analysts believe that its recent surge in steel mill starts mainly because in August after rising steel prices, steel mills profit increase, in the case of profits, steel mills intensify production inputs. “ But with the steel mill starts up, the market supply will also increase, if the market demand can't digest rapidly to increase the supply, will make inventories rose. Overall, mid to late September or because starts rising steel prices rising trend is suppressed. ” Analysts predict.