BEIJING (Asian Metal) 9 Apr 21 - As one major rebar producer in Hebei, Handan Iron and Steel Co. (Handan Steel), a subsidiary of HBIS, plans to produce around 100,000t of rebar in April, up from 65,000t in March and 10,000t in February respectively.
"With the iron melt supply increasing and prices going up continuously, we decided to produce rebar with full capacity in April and estimate the output will expand by around 54% MoM to 100,000t," said a source from Handan Steel, explaining that rebar prices already witnessed a rise of around RMB650/t (USD99/t) since March 1. According to him, the demand from building sites recovered gradually in the past month, so the company became active in rebar production.
Handan Steel has two rebar production lines with an annual production capacity of 2.0 million tons. It produced around 750,000t of rebar in 2020, down by about 25% YoY. The company saw an output of nearly 85,000t in the Q1 of this year and holds about 4,000t for stocks at the moment.
In Handan, Hebei, the price of rebar HRB400E Φ20mm hovered at around RMB5,180/t (USD791/t) on Thursday, down by RMB20/t (USD3/t) from Wednesday.
