SMM Express: China's steel export prices remained stable today, with most shipments scheduled for May to June. Intraday market inquiries were active, and HRC order-taking also improved recently, with most deals concluded at $480-485/mt, while some transactions in North China were closed at $475/mt. Billet performance remained steady, while slab trading volume saw a significant increase, mostly concentrated among private enterprises.

Steel demand in the Middle East increased by 2.8% year on year to 59.5 million tons in 2025. The main demand are derive from Saudi Arabia and the United Arab Emirates (UAE) In the first three quarters of 2025, Saudi Arabia and the UAE imported 4.06 million tons and 4.24 million tons of Chinese steel, increasing by 24.5% and 10.7% year on year, respectively. The UAE's steel imports from China are primarily used in construction, accounting for 70% of the total. Rebar constitutes 40% to 50%, wire rod 20% to 25%, and steel plate 15% to 20%. These products are primarily used in real estate and infrastructure projects, rebar processing, and the production of small components, as well as in steel structures for industrial plants and plazas. Some market participants indicated that China's steel exports are seeing robust demand in the Middle Eastern market, especially accelerated by policies and infrastructure projects in Saudi Arabia and the UAE.

According to SMM shipping data, as of May 31, the total port departures from Chinese ports in May were 11.6071 million mt, a 6.52% MoM decrease from April. The main reason for the discrepancy with customs data may be the decrease in billet exports MoM in May. Considering that major export traders and steel mills often set annual export targets, even in adverse external conditions, there may be instances of volume discounts. Therefore, SMM expects that steel export volume in June will still maintain high growth YoY, but MoM data may face a slight decline risk after three consecutive months of exceeding 10 million mt. The uncertainty of steel exports in H2 will increase.

According to SMM shipping data, as of May 31, the total port departures from Chinese ports in May reached 11.6071 million mt, down 6.52% MoM from April. The main reason for the discrepancy with customs data may lie in the decrease in billet exports MoM in May. Considering that major export traders and steel mills typically set annual export targets, even in adverse external environments, there may be instances of volume discount. Therefore, SMM expects that steel exports will continue to maintain high YoY growth in June. However, based on MoM data that has exceeded 10 million mt for three consecutive months, there may be a risk of a slight decline. Moreover, the uncertainty surrounding steel exports in H2 has clearly increased...

[China exported 10.578 million mt of steel in May 2025] According to data released by the General Administration of Customs on June 9, China exported 10.578 million mt of steel in May 2025, an increase of 116,000 mt MoM, up 1.1% MoM. From January to May, China's cumulative steel exports reached 48.469 million mt, up 8.9% YoY. In May, China imported 481,000 mt of steel, a decrease of 41,000 mt MoM, down 7.9% MoM. From January to May, China's cumulative steel imports stood at 2.553 million mt, down 16.1% YoY.

Last week, China exported a total of 2.6751 million mt of steel, down 20% WoW.