Since 2016, China's steel prices gradually recovery, steel price index is out of the record low of 54.48. March index has rebounded to nearly 70 points.

China's 2015 crude steel output fell 2.3% year on year; steel consumption fell 5.4% year on year, both appeared first drop for many years.

At the same time, China's crude steel production capacity utilization rate was only 71.5% in 2015; China Iron and Steel industry still faced full overcapacity problem.

China Iron and Steel Industry Association expected the domestic steel demand will continue to shrink by 3% in 2016, since a 5.4% dropped in 2015. It expected that China's steel consumption will continue to decline until 2030.