Economy

China steel output up on production restart: CISA

(Agencies)
Updated: 2010-10-14 17:09

SHANGHAI - China's crude steel production recovered quickly in late September as some mills in northern Hebei province resumed output, Reuters reported on Thursday according to industry data.

China Iron & Steel Association (CISA) data showed daily crude steel output was 1.678 million tons in the last 10 days of September, 8.5 percent higher than the middle 10 days of the month.

Related readings:  Demand for steel to slow  China steel prices to stay volatile in near term: CISA  China continues steel output reduction policy  Steel industry outlook still hazy

This rebound came just after steel output fell nine percent in mid-September from early September, which was caused by production cuts in the country's steel heartland after the government ordered shutdowns to meet the energy savings target.

Market sources said a few steel mills had already resumed output in late September, although other provinces including Henan and Shandong have recently ordered local mills to halve output in the fourth quarter.

CISA said daily crude steel output was 1.618 million tons for the whole September.

Its member producers, comprised of 77 medium- and large-sized steel mills, produced a total of 1.417 million tons per day during the last 10 days of September, up 8.6 percent from the preceding period.

China's National Bureau of Statistics is expected to release output figures late next week.