China’s steel PMIs rebound in May as downstream demand ramps up
Hellenicshippingnews - China’s two steel industry purchasing managers’ indices both rebounded strongly in May amid a ramp-up in demand from the domestic infrastructure and construction sectors as coronavirus lockdown measures eased.
The headline PMI published by CFLP Steel Logistics Professional Committee rose by 5 basis points from April to 50.9 in May. A separate steel PMI published by the Hebei Metallurgical Industry Association rose by 5.2 basis points over the same period to 53.9 points. A reading above 50 indicates expansion and below that, contraction.
The CFLP’s sub-index for steel output rose by 3 basis points to 56.4 in May, and for new orders rose by 13 basis points to 52.9. Its sub-index for raw material purchase prices surged by 28.3 over the same period to 68.9 as supply shortages in Brazil exacerbated high seaborne iron ore prices.