Chinese steel prices have inched up for 5 weeks since the end of last month and experienced a 15 percent of growth.
However, expert sees not that optimistically because of some critical factors in the market. They think that the entire recovery of steel industry mostly rely on construction and manufacturing industries, but it is unseeable for how long these downstream industries will take to get recovered.
Recent rebounding steel market is greatly stimulated short-term by the government’s RMB4 trillion investment plan, but this plan is also combined with uncertainties making it hard to be accomplished. Based on a weak export market and domestic demand, slow-down in real-estate industry, steelmakers may have to face longer tough time in 2009. Source: Yieh.com