China’s Steel Industry Purchasing Managers’ Index (PMI) reached 47.9 in March, or fell by 0.7 basis points on a month-to-month basis, due to the gradual recovery of domestic steel demand and the decline in steel production due to pollution control. The official index compiler- CFLP Steel Logistics Professional Committee (CSLPC)-commented in the version released on March 31.
CSLPC concluded: “Last month, due to the mild recovery of domestic demand and the restriction of steel production due to pollution control, steel production declined slightly. China’s domestic steel prices spiraled upward and raw material prices fell from their respective highs.” In April, "China's steel prices may hover at high levels, while iron ore prices may continue to weaken."