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DNV GL DH32 steel price is expected to continue to fluctuate and rise in the near future
Since May, China's DNV GL DH32 steel price has shown an upward trend. The current domestic steel market has the following characteristics:
First is the high supply of DNV GL DH32 steel. It is expected that the release of domestic DNV GL DH32 steel production capacity will continue to accelerate in the second half of the year.
The second is high demand for DNV GL DH32 steel. Since April, the progress of resumption of production and national production has accelerated, downstream demand has recovered strongly, and steel inventories have continued to decline.
Third is high cost of DNV GL DH32 steel. Since May, the price of raw steel fuel has risen sharply. Affected by this, the cost of DNV GL DH32 steel production increased significantly.
The fourth is wide funding. Since the beginning of this year, the state has taken measures to increase the fiscal deficit rate, issue special national bonds, and increase the size of special bonds. It is expected that there will still be room for expansion in monetary policy in the future.
Overall, the current market is driven by demand, cost and capital. In the second half of this year, as demand gradually returns to normal levels and financial support is reduced after the issuance of special bonds, it is expected that the impact of high supply on the market will gradually appear, especially in the fourth quarter, high supply superimposed off-season demand growth slowed down. The contradiction between supply and demand will become more apparent. Based on this, it is expected that DNV GL DH32 steel prices will continue to fluctuate and rise in the near future, will run at a high level in the third quarter, and will face greater downward pressure in the fourth quarter.