Gross profit for the steel sector, including primary and secondary producers, was 35.84 billion yuan (roughly $ 5.2 billion) in April, up 67.5 percent from 21.4 billion yuan in March, according to the Chinese bureau. statistics.
The cumulative gross profit for the January-April period fell 28.1 percent to 77.45 billion yuan. The total revenue of the steel sector grew by 8.4 percent year on year to 219.61 billion yuan.
According to forecasts, after strong growth in 2016–2018. steel sector profits may decline this year, but market participants do not expect large losses as robust real estate growth and expected infrastructure developments keep demand and prices strong. But trade tensions between China and the US will continue to negatively impact them.
Smelter profits fell slightly in May from April levels as the hot and wet season in China slowed construction activity. The sharp rise in iron ore prices and higher coke prices have also reduced the profitability of metallurgists.
