Analysis on China's Steel Production and Investment Performance in H1, 2014(Part Two)
II. Overview of China's steel production in H1, 2014
China’s steel production continued steady growth in the first half of the year, but the growth rate pulled back significantly from a year ago.
In the first six months, China produced 412 million tonnes of crude steel, up 2.99 percent year on year; 362 million tonnes of pig iron, up 0.51 percent year on year; 552 million tonnes of steel products, up 6.45 percent year on year. The growth rate was down 4.43 percentage points, 5.22 percentage points and 3.76 percentage points respectively from that recorded in the same period of 2013.
Through the first half of this year, daily crude steel output has been running at above 2.2 million tonnes every month, the highest level hit in February 2013. Furthermore, the daily crude steel output data successively refreshed record highs month on month except in May. The daily crude steel output in June reached more than 2.3 million tonnes, equivalent to annual production capacity of 843 million tonnes.
China’s crude steel production accounted for 50.15 percent of the world’s total in the first half of 2014, the biggest ever.
In the first half of the year, CISA’s member steelmakers’ crude steel production rose 2.66 percent from a year earlier, 0.33 percentage points lower than the national average level. The combined output of CISA’s member steelmakers accounted for 78.92 percent of China’s total output, down 0.25 percentage points from a share of 79.17 percent in the same period of 2013. Non-key steel companies posted a year-on-year growth of 4.24 percent in crude steel output, up 1.58 percentage points versus that of CISA’s member steelmakers.
Broken down by variety of steel products, long steel products reported the biggest rise of 7.70 percent in the first half of the year, followed by railway steel products (up 6.19 percent) and pipe products (up 5.03 percent). Among 22 types of steel products, cold rolled sheet, medium plate, heavy section, coating plate(strip), cold rolled thin strip and rebar posted an output growth of more than 10 percent and only super heavy medium plate, medium wide strip and hot rolled sheet suffered a reduction in output.