In September this year, the purchasing managers index (PMI) for the Chinese steel sector was at 43.6 percent, down by 4.8 percentage points as compared to August, still below the 50 percent threshold and falling to the lowest level of the past seven months, as announced by the China Steel Logistics Committee (CSLC), which is part of the China Federation of Logistics and Purchasing (CFLP).
In addition, in September the production index for the steel sector indicated a 8.4 percentage point month-on-month decrease to 45.9 percent. Meanwhile, in September the raw material inventory index for the sector decreased to 38.8 percent with a 6.6 percentage point month-on-month decrease, while the sub-index for new orders saw a decline of 6.6 percentage points month on month to 38.0 percent.
In the given month, the finished steel inventory index increased to 60.9 percent, up 4.2 percentage points month on month, while the index for new export orders declined to 51.7 percent, down 1.5 percentage points month on month but still above the threshold of 50, reflecting the ongoing good performance of China's steel exports in September. In September, the purchase price index in the Chinese steel sector stood at 23.7 percent, seeing a significant decline of 11.1 percentage points month on month.
