China’s Steel Prices Rise in April 2026
Date:2026-04-29
According to the latest data released by the National Bureau of Statistics and industry organizations, China’s steel prices in April 2026 demonstrated a trend of slight appreciation and stabilization at a market bottom. Although the market continues to face overall pressure from an "oversupply relative to demand" situation, steel prices strengthened during the mid-to-late part of April, driven by factors such as cost support and policy expectations.
I. Price Data for Mid-April: Mainstream Steel Products See Modest Gains
Data from the National Bureau of Statistics indicates that in mid-April 2026, prices for mainstream steel varieties circulating nationwide generally experienced a slight increase compared to early April.
II. Three Key Drivers Behind the Price Surge
The rise in steel prices during April did not stem from a sudden, comprehensive surge in demand; rather, it was the result of the combined influence of the following factors:
Heightened Expectations for Supply-Side Reform Policies:** This served as the core factor driving the current round of steel price increases. On April 22, the State Council issued new guidelines regarding energy conservation and carbon reduction, replacing the previous "dual control of energy consumption" system with a "dual control of carbon emissions" system—a metric that has now been incorporated into the central government's performance assessment framework for the first time. This move signaled to the market that the steel industry's supply side would face stricter constraints going forward, thereby boosting market confidence in future prospects.
Robust Cost-Side Support:** Prices for the primary raw materials used in steel production remained persistently high. Influenced by factors such as geopolitical tensions in the Middle East, coking coal prices continued their upward trajectory, while iron ore prices also remained at elevated levels. Concurrently, the second round of price hikes for coke—implemented in April—took effect, directly driving up production costs for steel mills and providing underlying support for rising steel prices.
Reshaping of Regional Supply-Demand Dynamics:** According to industry analysis, the "North-South price spread" within China's steel sector has been undergoing a structural shift in recent years. From January to April 2026, prices for construction-grade steel stabilized and began to rebound; the national average price for rebar rose by approximately 2.2% compared to the beginning of the year. This trend is attributed to a slowdown in capacity expansion among steel mills in the South, coupled with a strategic shift in product mix among mills in the North. These developments have helped alleviate regional supply-demand imbalances, thereby providing a foundational level of support for steel prices.
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