“(Steel demand) is gradually shifting from the peak season to the off-season cycle, and consumption is expected to gradually pull back from the previous month,” Huatai Futures analysts said in a note.
Worldwide crude steel production dropped to 143.3 million tonnes in November from a year earlier but Chinese levels tumbled by 22% to 69.3 million tonnes, the World Steel Association data showed on Wednesday.
Compared to last month, Chinese output slipped 3.2%, showing that production may be stabilising at lower levels, Caroline Bain, chief commodities economist at Capital Economics, said in a note.