Strong cost support has led to a volatile but generally upward trend in steel prices.

Since the beginning of March, the domestic steel market has shown a volatile but generally upward trend, driven by both cost increases and a recovery in demand. On the raw material side, iron ore prices have remained high, and coking coal prices have also held firm due to environmental production restrictions, putting significant pressure on steel mills' production costs. Major steel mills have raised their ex-factory prices for April. On the demand side, with warmer weather across the country, construction site operating rates have steadily rebounded, particularly with infrastructure projects in energy and transportation providing strong support for plate steel. Although social inventories are still being digested, market sentiment is generally optimistic. Industry insiders believe that steel prices have strong support at the bottom in the short term, but caution is needed regarding the risk of a slight correction due to sluggish transactions at high levels.