In a promising development for the global steel market, China has seen its steel exports soar to new heights in 2024, reaching an impressive 80.71 million tons in the first nine months. This represents a remarkable 21.2% increase compared to the same period last year and marks the highest export volume recorded in eight years, according to Kallanish.
September alone was a standout month, with steel shipments hitting 10.15 million tons—a month-on-month increase of 6.9% and a year-on-year rise of 25.9%. These figures reflect China’s robust position in the international steel trade, showcasing its capacity to meet global demand effectively.
Despite the increase in volume, it is worth noting that export revenues for January to September saw a 5% decline compared to 2023, totaling $65.4 billion. This drop highlights a downward trend in average steel prices during the same period but does not overshadow the overall positive trajectory of steel exports.
On October 11, the China Iron and Steel Association (CISA) held a key meeting with leading steel producers to explore strategies for regulating steel exports. Discussions included tackling VAT evasion, potential tax rebates for high-quality steel exports, and measures to restrict the export of lower-quality steel. These proactive steps underline China’s commitment to enhancing the quality of its exports and fostering sustainable trade practices.
In addition to steel, China’s iron ore imports also demonstrated positive momentum, increasing by 2.7% month-on-month and 2.9% year-on-year in September, reaching 104.1 million tons. Over the first nine months of 2024, total iron ore imports rose by 4.9% to 918.9 million tons, with import costs totaling $102.6 billion, reflecting a 4.1% increase year-on-year.
Conversely, steel imports into China totaled 554,000 tons in September, marking an 8.8% month-on-month increase but a 13.4% decrease compared to the same month last year. From January to September, overall steel imports dropped by 9% year-on-year to 5.2 million tons, with import costs falling by 9.8% to $8.7 billion.
These trends indicate a dynamic shift in China’s steel market, with last year witnessing a 36.2% increase in steel product exports to 90.3 million tons, alongside a 27.6% drop in imports. Iron ore imports also saw growth, increasing by 6.6% to 1.179 billion tons. With a production volume of 1.019 billion tons, China recorded a slight 0.6% increase in steel output, ending a two-year decline in production levels.
As the global steel market continues to evolve, the implications of China’s export strategies and regulatory measures are expected to resonate throughout the international trade community, enhancing opportunities for collaboration and growth.
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