SHANGHAI Nov 14 A recent rally in steel prices
in China, the world's top steel market, is facing headwinds
despite falling inventories, as overcapacity will continue to
bite into margins, the China Iron & Steel Association (CISA)
said on Wednesday.
Total inventories of five main steel products including
hot-rolled coil and rebar in 26 major markets fell 2.8 percent
from the end of October to 12.08 million tonnes on Nov.9, CISA
said in a statement on its website.
The financing costs for the country's large steelmakers
jumped 29 percent to 61.2 billion yuan for January-September
from a year earlier.
(Reporting by Ruby Lian and Fayen Wong)