Baosteel expects Chinese steel exports to remain above 100 million tons in 2025
The largest steel maker in China Baoshan Iron & Steel Co 600019 hopes that the total exports of the country’s steel remain above 100 million metric tons in 2025, he said on Friday, while monitoring the potential of the sidewalks at national steel output.
The company, known as Baosteel, is a subsidiary of China Baowu Steel Group owned by the State, the largest steel maker in the world with output.
Steel exports are likely to fall in the fourth quarter of the current high level, being restrained by higher potential export prices, new tax regulations and tariff barriers, Chairman Baosteel Jixin Zou told the direction of the company’s first round results on Friday.
Chinese steel exports in the first seven months rose 11.4% to reach the highest record despite trading barriers. Baosteel exported 4.83 million tons of steel in the same period, versus a total of 6.07 million tons in 2024.
“At present, our monthly exports are still increasing, so we already have the ability to export 10 million tons of steel every year,” said General Manager Baosteel Baojun Liu.
The company targets the capacity to export 15 million tons and 20 million tons of steel each in 2026 and 2028, said Liu.
In addition, Baosteel said he would monitor steps to cut steel output and develop “anti-involution” policies in China to overcome the excess capacity felt in the industry.
China’s peak leadership promised in July to crack down on deflation price war, triggering the hope of national supply reforms in the sectors that were disturbed by excess capacity including coal and steel, which sent higher prices.
China will encourage to cut steel output between 2025 and 2026 for handling excess capacity that has reached price and feeding protectionist reactions worldwide, Reuters report.
Baosteel reported on Wednesday, an annual increase of 7.4% in net profit in the first round despite the lower domestic domestic demand and lower steel prices.
Source: Reuters
