Morning Reading: 84 New Enterprises Proposed for Entry into Scrap Steel Processing, Baosteel Adjusts Production Capacity Goals

◎ The list of enterprises meeting the "Access Criteria for the Scrap Steel Processing Industry" (13th batch) has been released, with 84 new companies proposed for inclusion. Details>>

◎ According to Baosteel Shares, the company has adjusted its production capacity target from "80 million to 100 million tons" to "80 million tons+", emphasizing not merely scaling up, but rather focusing more on unlocking value from existing assets through synergy.

◎According to Mysteel's research, some foundry-grade pig iron enterprises in Linfen have already halted their blast furnace operations, while others are planning similar shutdowns. As a result, blast furnace capacity utilization is expected to decline. However, currently, downstream demand remains weak, and buyers are adopting a cautious purchasing stance. Therefore, the impact on the pig iron market in the short term will be relatively limited. Details>>

◎From October 27 to November 2, China's total iron ore arrivals at 47 ports reached 33.141 million tons, an increase of 12.298 million tons compared to the previous week. Meanwhile, iron ore arrivals at 45 Chinese ports totaled 32.184 million tons, up 11.893 million tons from the prior week.

◎ Daylight Saving Time has already begun in North America, meaning trading hours for U.S. and Canadian financial markets—and the release times of economic data—will be delayed by one hour compared to standard time.

◎ U.S. Treasury Secretary Mnuchin stated that if China continues to restrict rare earth exports, the U.S. may impose additional tariffs on Chinese goods. In response, the Chinese Foreign Ministry emphasized that the outcomes of the China-U.S. Kuala Lumpur economic and trade talks clearly demonstrate that dialogue and cooperation are the right paths forward—threats and pressure will only hinder efforts to resolve the issue.

◎ The China-EU Export Control Dialogue and Consultations were held in Brussels, where both sides engaged in in-depth, constructive discussions on their respective concerns in the field of export controls. Both parties agreed to maintain ongoing communication and exchanges to further promote stability and smooth flow within the China-EU industrial and supply chains.

◎ The Ministry of Finance has newly established a Debt Management Department, whose primary responsibilities include formulating and implementing the government's domestic debt management system and policies; preparing quota plans for outstanding national debt and local government bonds; and strengthening monitoring and supervision of government debt to proactively manage and mitigate risks associated with implicit debt.

◎ The People's Bank of China and the Bank of Korea have renewed their bilateral currency swap agreement, with a swap size of CNY 400 billion/KRW 70 trillion. The agreement is valid for five years and can be extended upon mutual consent.

◎ On November 3, national major port iron ore transactions totaled 1.293 million tons, up 62.4% from the previous day; meanwhile, mainstream traders reported building steel sales of 98,000 tons, an increase of 9% compared to the prior day, across 237 key companies.

◎ From October 27 to November 2, global iron ore shipments totaled 32.138 million tons, a decrease of 1.745 million tons compared to the previous week. Shipments from Australia and Brazil reached 27.592 million tons in total, down 1.667 million tons from the prior week.

◎ On November 3, the total inventory of scrap steel at 300 key domestic steel plants, including those with short-process operations, reached 4.7475 million tons, an increase of 0.98%. Inventory turnover remained steady at 7.4 days, while daily consumption climbed to 558,000 tons, up 1.53%. Meanwhile, daily deliveries rose to 573,300 tons, marking a 3.66% increase.

◎On November 3, the average cost for 76 independent electric arc furnace construction steel plants was 3,298 yuan/ton, down 2 yuan/ton from the previous day. Meanwhile, the average profit per ton stood at a loss of 137 yuan, with valley-hour electricity profits also falling short by 41 yuan per ton.

◎ Shanxi Jianlong shut down a 1080m³ blast furnace for maintenance on November 1, reducing daily hot metal production by approximately 4,200 tons. After completing the maintenance on this furnace, the company will begin upgrading a 1380m³ blast furnace. Meanwhile, on the rolling line front, two rebar rolling lines were halted between November 1 and November 5, cutting daily output by about 7,000 tons. Once the bar products resume production, plate output is expected to decline accordingly.

◎ Changzhou Dongfang Special Steel plans to begin maintenance on a 550m³ blast furnace in mid-to-late November, lasting 30 days. This is expected to reduce molten iron production by 2,000 tons per day. Simultaneously, rolling lines will undergo rotating maintenance, impacting total round-steel production by 70,000 tons during the same period.

◎ Fujian Sangang's special steel bar production line is scheduled to halt for maintenance from November 12 for 13 days, primarily affecting medium- and large-sized bars ranging from 60 to 180mm. This outage is expected to impact the total output of special steel bars by approximately 30,000 tons.

◎ Since October, 17 domestic steel plants have announced maintenance plans. Among them, Daye Huaxin plans to shut down and cool down two blast furnaces from December 20 to December 30, 2025, which is expected to reduce daily molten iron production by approximately 8,000 tons. More details >>

◎ In October 2025, nine steel projects either commenced construction or began production. Among them, projects like Linyi Steel Investment Special Steel and Rizhao Steel started construction; while Shanxi Jianbang Tongcai Company, Guangfu Group, and Shandong Haixin Precision Thin Plate projects started operations. For more details>>

◎ Hebei's Tangshan, Qian'an, Handan, Shijiazhuang, Langfang, Cangzhou, Hengshui, and other areas activated a Level II emergency response for severe pollution weather starting from 6:00 PM on November 3.

◎ The London Metal Exchange announced that, effective November 10, 2025, it will suspend all non-U.S. dollar-denominated metal options trading.

◎ According to an incomplete compilation by Mysteel, as of October 31, 20 cities have introduced 26 policies aimed at easing restrictions in the property market. Among these measures, many regions have unveiled "quality housing" construction standards and continued issuing home-buying vouchers. More details are available.

◎ According to an incomplete tally by Mysteel, as of November 3, 13 major automakers have released their new-energy vehicle sales figures for October 2025, among which Leapmotor has surpassed 70,000 units for the first time. More details ➡

◎ The China Passenger Car Association forecasts that the national passenger car market will see a cumulative retail sales growth of 9% year-on-year in 2025, reflecting the strong growth momentum typically observed in China's auto industry from February to September.

◎ Guangdong Province will allocate an additional 3.5 billion yuan to boost consumer spending. Subsidies for purchasing new cars can go up to 5,000 yuan per vehicle, while subsidies for home appliance purchases will cover up to 1,000 yuan per item.

◎ According to First Commercial Vehicle Network, in October 2025, China's heavy-duty truck market saw total sales of approximately 93,000 units (wholesale figures, including exports and new energy vehicles), representing a month-on-month decline of about 12% and a significant year-on-year increase of roughly 40%.

◎ According to International Ship Net, from October 27 to November 2, shipyards worldwide received a total of 63 + 1 new ship orders. Among them, Chinese shipyards secured 57 + 1 new ship orders; Japanese shipyards received 3 new ship orders; and South Korean shipyards took 3 more new ship orders.