FX.co ★ Steel Firms on China Export Data

Steel rebar futures have climbed above CNY 3,140 per ton, reaching levels not seen in five months, following China's announcement of record steel exports in December. This surge is attributed to traders accelerating shipments prior to Beijing's anticipated export license requirement set to commence in 2026. In December alone, 11.3 million tons of this crucial material for construction and manufacturing were shipped, with annual exports rising by 7.5% to an unprecedented 119.02 million tons. Beijing's decision to implement an export licensing system beginning in 2026 seeks to regulate outbound shipments, responding to the intensifying protectionist sentiment globally after robust export volumes. On the demand front, there is cautious optimism, bolstered by expectations of additional stimulus measures from China this year, though the persistent slump in the property sector continues to dampen domestic steel consumption.