The cold rolled steel market, the latest data show that, in China's steel stocks has reached 16 million tons, some of the major varieties of steel prices fell more than two months, more than in April fell 15%, and steel prices reflect the decline steel market downturn.As industrial demand for grain iron and steel industry under pressure Why? 56 months, real estate, automotive, appliance steel plummeted. By a series of macro-control policy implications, the first building to use the rebar and wire rod market, with sales plummeting trend emerged. 

Another reason is that the economic downturn in exports, as well as Europe and the United States to take trade protection policy, making steel, steel exports to be affected. Car appliance needs with the peak season to more than 3,4, then the month, also dropped by about half.16 Million Tons of Steel StocksJune 22, the Ministry of Finance announced that from July 15 will be abolished as part of the export tax rebate, involving more than 40 kinds of primary steel products. Under pressure all bad news, the main varieties of hot-rolled coil steel prices have fallen more than in April had more than 700 yuan. 

July Baosteel automobile steel and high strength steel prices have dropped as much as 1,300 yuan per ton, down 17%, common cold, hot rolling, pickling, hot-dip galvanizing and other varieties of price drops, with a reduction of about 10 %. Baosteel plunged offer fully reflects the downturn in steel market right now.However, the data show that China's steel mesh, steel inventories across the country has reached 16 million tons, the first 5 months of this year, China's total crude steel output has reached 26,890 tons, up 23.8%. China's crude steel output of which in April hit a record high of 1.847 million tons, equivalent to annual production of 670 million tons. As growth slows and output growth accelerated, rising again in steel stocks.

According to Mysteel statistics, as of June 18, stocks in major cities reached 1,577.5 million tonnes of steel community, 74% higher than the same period last year. Such a custom metal coin high inventory levels combined with high yield, in the second half slowdown in steel demand and in exports of the case, the future of steel prices will be under pressure.Iron and steel traders generally agreed that changes in the current market the most direct way is to limit production of large iron and steel producers, reduced production time for the domestic market to consume inventory. 

But now large-scale steel mills have not been clearly planned production cuts, but in June , repair all major state-owned enterprises Jizhong, a part, albeit in reduced production performance, limited influence, coupled with Xianzai that winter is low season, we now traders right Jin Qi Gang lack of confidence in the price rebound.The current real estate sales in the doldrums, the construction area of decline, which in May construction area of 205 million square meters, has been a decline for two consecutive months, the chain fell 8.4% in April, the chain fell 37% in March. Statistics also show that there were chain down the domestic auto industry, which in April and May has been a continuous decline in the auto industry is a large domestic demand for steel.