FX.co ★ Steel Muted After Chinese Trade Data

Steel rebar futures remained steady at approximately CNY 3,060 per tonne on Monday, hovering near their two-month low as market participants processed China's recent trade figures. August saw a 4.4% increase in exports, marking the slowest growth in half a year, largely due to a 33% drop in shipments to the US amid ongoing tariff challenges. On the import side, there was a modest increase of 1.3%, falling short of the anticipated 3% growth, attributed to a fragile property sector and heightened job insecurity affecting demand. Notably, China's steel product imports surged by 11.1% to reach 0.50 million tonnes, while exports declined by 3.4% to 9.51 million tonnes. Since mid-August, inventories of major steel products have been climbing, underscoring the lackluster demand caused by the enduring property market slump. This persistent inventory surplus continues to exert downward pressure on prices and may discourage steel mills from boosting production.