COFCO Futures: Domestic demand for steel has remained high, concerns about short-term "export decline" of steel have been debunked.

COFCO Futures research report stated that although June and July are traditional off-seasons for steel usage, domestic iron production remains at high levels, supporting strong demand for coking coal. This resilience in iron production is mainly due to better-than-expected performance in domestic and international demand. From the export side, there were concerns in the market about US trade policies possibly suppressing steel exports, but actual data shows that the impact has not been as pronounced as expected, and steel exports have remained stable. The worries about a short-term "export decline" have been proven wrong. This implies that international demand for Chinese steel still provides support, indirectly driving the continuous production of iron. In terms of domestic demand, under the continued implementation of the "two reductions and one increase" policy, domestic steel demand remains high. Even in the off-season, the decrease in demand for construction steel is significantly smaller than in previous years, and the strength of steel usage in industries such as infrastructure and manufacturing provides solid support for iron production.