In China, steel production in 2025 dropped below 1 billion tons and reached its lowest level in seven years.
This is reported by Reuters with reference to data from the National Bureau of Statistics of China, SilkBridge reports.
By the end of 2025, steel production in China amounted to 960.81 million tons, which is the lowest since 2018, which is 4.4% lower than in 2024.
Chinese steel companies have been struggling with profitability since the second half of 2022 due to the ongoing slowdown in the real estate market.
At the same time, analysts note that profitability has improved in 2025, in particular due to the reorientation of manufacturers to flat rolled products such as hot-rolled coils, which are in higher demand.
China's steel exports, which recently released data showed, rose to a record high of just over 119 million tons last year. It mainly consists of flat rolled products.
In December, steel production decreased by 2.4% compared to the previous month and by 10.3% year–on-year to 68.18 million tons, which was the lowest level since December 202, and marked the seventh consecutive monthly decline, as a number of steel mills carried out annual maintenance of equipment during a period of traditionally weak demand.
According to the consulting company Mysteel, an average of 54% of steel mills were profitable last year, compared with 36% in 2024.
Analysts expect a further decline in steel production in 2026, although the rate of decline will be more moderate.
Ge Xin, deputy director of the Lange Steel consulting company, predicts a reduction in steel production by about 3% in 2026.
