Overseas steel mills continue to operate actively

Overseas steel mills have actively resumed operations amid strong global steel prices and the improving economic environment. The daily pig iron output of steelmakers, which started production in January, is expected to reach 50,000 mt.

Looking at the European regions, a 2,200 cubic meter blast furnace in Europe started production again in early January. Swedish steelmaker SSAB announced at the beginning of January that it had reactivated a 1.3 million mt annual blast furnace in Finland, and a 3,000 cubic meter blast furnace in Spain resumed production during the Chinese New Year holidays.

A certain increase is still expected in pig iron production in Asia. Japan's plans to restart production in March continue and pig iron output is expected to increase by 10,000-15,000 mt. Vietnam will restart the production of 3 blast furnaces with an average daily production of 10,000 mt of pig iron.

With the active operation of overseas blast furnaces, the supply-demand mismatch will gradually improve so that overseas steel prices can return to their normal levels. Exports will intensify in February-April.