Chinese steel industry PMI dropped further to 42.2 percent in October, down 1.5 percentage points from September, China Federation of Logistics & Purchasing (CFLP) said in a report over the weekend.
The index has declined for two straight months and has been staying below 50 percent for 18 months in a row, indicating the sluggishness of the steel industry. In a breakdown, the sub-index of new order hit a nine-month low; that of purchase price has slid to the lowest since April this year; and the production sub-index has fallen to the lowest since September 2013.
In the first three quarters of 2015, Chinese large and midsize steelmakers posted combined losses of 55.27 billion yuan out of the main business, leading to more overhauls among steel mills in October, according to China Iron and Steel Association.
Latest comments