China HRC market under pressure as new capacity piles up in 2026

China’s hot-rolled coil steel market faces mounting pressure in 2026 as new production capacity outpaces modest demand growth from the manufacturing sector, threatening to keep prices rangebound at multiyear lows and squeezing mill margins to near zero. The capacity expansion comes as Chinese HRC prices have fallen 38.5% since 2021, with mills struggling to maintain profitability despite effortsChina’s hot-rolled coil steel market faces mounting pressure in 2026 as new production capacity outpaces modest demand growth from the manufacturing sector, threatening to keep prices rangebound at multiyear lows and squeezing mill margins to near zero. The capacity expansion comes as Chinese HRC prices have fallen 38.5% since 2021, with mills struggling to maintain profitability despite effortsRead More