In China, steel spot prices have fallen to a record low of 2,458 yuan, equal to 369 USD per tonne, the lowest level since January 2003. According to the experts, the prices have been falling for 10 successive sessions which can be attributed to the near end of peak construction season in China.
As well as over the last four years, this year steel prices in China have already decreased by 11 per cent.
Furthermore, in April, prices on new housing fell in fewer Chinese cities than in March (prices dropped in 49 cities). According to the National Bureau of Statistics, price reduction was recorded in 47 cities last month, but in terms of annual growth rate housing has fallen in price in 67 out of 70 largest cities.
According to the China Iron and Steel Association, during the first quarter of the year, steel consumption has declined by 6 per cent, and no demand growth is foreseen for a long time.
Compared to April 2014, China has reduced steel output by 0.7 per cent to 68.91 million tonnes.
