According to Mysteel’s latest survey, production at China’s blast furnace (BF) steel mills increased during December 26–31, as improved air quality in northern regions allowed some mills to resume or ramp up operations.

Among the 247 BF steel mills monitored by Mysteel, the average capacity utilization rate rose by 0.3 percentage point week on week to 85.3%, while average daily hot metal output increased by 0.4% to 2.27 million tonnes. The average operational rate also climbed by 0.6 percentage point to 78.9%.

In line with higher output, imported iron ore consumption edged up, with daily usage rising 0.2% week on week to 2.81 million tonnes. As of December 31, imported iron ore inventories held by these mills increased 1% from a week earlier to 89.5 million tonnes, equivalent to 31.9 days of consumption.

Mysteel Global noted that easing pollution controls and improved profit margins provided additional support for higher production levels during the period.