Investment Rating - The report maintains a "Buy" rating for the steel industry, indicating a positive outlook for selected companies [7]. Core Insights - The steel industry is currently experiencing a recovery from undervaluation, with significant potential for price and profit improvement as supply-side policies are implemented [2]. - The report highlights that the average daily pig iron production has decreased, while inventory reduction has slowed down, indicating a tightening supply [3][26]. - Demand for steel products has shown a decline in apparent consumption, particularly in rebar and hot-rolled coil, reflecting a temporary market adjustment [43]. - The report emphasizes the continued high growth rate of steel exports, with a net export increase of 7.6% year-on-year, suggesting robust international demand [4][14]. - The report identifies key companies that are expected to benefit from the current market conditions, including Hualing Steel, Nanjing Steel, Baosteel, and New Steel [2][10]. Summary by Sections Supply - Daily pig iron production has decreased by 21,000 tons to 2.342 million tons, with a reduction in production from long-process steelmaking [13]. - The capacity utilization rate for 247 domestic steel mills is at 87.8%, down 0.8 percentage points from the previous week [19]. Inventory - Total steel inventory has seen a reduced decline, with a week-on-week drop of 0.7%, indicating a tighter market [26]. - The social inventory of five major steel products stands at 10.75 million tons, down 0.2% week-on-week but up 29.8% year-on-year [28]. Demand - Apparent consumption of five major steel products has decreased by 5.4% week-on-week, with rebar consumption down by 5.9% [54]. - Weekly average transaction volume for construction steel has fallen to 96,000 tons, a decrease of 7.6% [44]. Raw Materials - Iron ore prices have declined, with the Platts 62% iron ore price index at $102.1 per ton, down 5.0% week-on-week [64]. - The report notes an increase in port iron ore inventory, suggesting a potential oversupply situation [53]. Prices and Profits - The comprehensive steel price index has decreased by 1.1% week-on-week, with current rebar prices in Beijing at 3,190 RMB per ton [76]. - The report indicates that the immediate gross profit margins for long-process rebar and hot-rolled coil remain relatively stable despite price fluctuations [76].

Investment Rating - The report maintains a "Buy" rating for several steel companies, including Hualing Steel, Baosteel, Nanjing Steel, and others [3][4]. Core Views - The steel industry is gradually entering the off-season, with differentiated performance among various products. Steel production and apparent consumption are both declining, indicating seasonal characteristics. Inventory reduction rates are similar to previous years, but absolute inventory levels remain high. Steel mill profits are at low levels, and a seasonal downward trend is expected in both supply and demand [3][4]. - The report highlights that the production structure is changing, with some steel mills shifting from rebar production to plate production due to weak real estate demand. This has led to an increase in plate production and a decrease in rebar production, with supply changes outpacing demand changes in the short term [3][4]. Summary by Sections Price Trends - As of November 7, 2025, steel prices have decreased, with rebar priced at 3200 CNY/ton, down 10 CNY/ton from the previous week. Hot-rolled and cold-rolled prices also saw declines of 60 CNY/ton and 50 CNY/ton, respectively [1][10]. Production and Inventory - Total steel production for the week was 8.57 million tons, a decrease of 185,500 tons from the previous week. Social inventory decreased by 20,400 tons to 10.7383 million tons, while steel mill inventory fell by 80,900 tons [2][3]. Profitability - Steel mill profits have declined, with rebar, hot-rolled, and cold-rolled margins decreasing by 7 CNY/ton, 38 CNY/ton, and 10 CNY/ton, respectively. Electric arc furnace steel margins also fell by 14 CNY/ton [1][3]. Investment Recommendations - The report recommends several stocks, including Hualing Steel, Baosteel, Nanjing Steel, and others, highlighting their potential for recovery in profitability due to capacity regulation and precise management [3][4].

Core Insights - The eighth China International Import Expo (CIIE) is witnessing significant procurement activities, with the Shanghai trading group actively engaging in large-scale purchases [1] - Major retail procurement alliance members, including Bailian Group and Bright Food Group, have signed contracts with suppliers from various regions, covering multiple sectors such as food, home goods, beauty, and medical devices [1] - China Baowu Steel Group has also made substantial procurement agreements with 13 global suppliers, focusing on advanced low-carbon metallurgical equipment and high-quality raw materials [1][2] Group 1 - The Shanghai trading group has achieved procurement intentions for 54 projects, with 25 projects signed on-site during the expo [1] - The procurement products represent advanced manufacturing levels in the global low-carbon metallurgy sector, aimed at upgrading processes and optimizing product structures for Baowu's steel production [2] - The procurement includes a range of resources such as iron ore, chromium ore, manganese, nickel, coal, and various metal materials [1][2] Group 2 - Multiple districts in Shanghai are also signing key industrial and benchmark projects during the expo [3]

Core Insights - The eighth China International Import Expo (CIIE) has facilitated significant procurement agreements among major retail purchasing alliances in Shanghai, highlighting the event's role in enhancing international trade relationships [1] Group 1: Procurement Agreements - The Shanghai Purchasing Alliance, led by Bailian Group, has signed procurement agreements with suppliers and brand representatives from the Americas, Europe, Oceania, and Asia, covering various sectors including food, home goods, beauty, personal care, and medical devices [1] - A total of 54 procurement projects have been initiated by the Shanghai Purchasing Alliance members since the start of the eighth CIIE, with 25 projects signed on-site during the event [1] Group 2: Steel Industry Participation - China Baowu Steel Group, the world's largest steel company, has also engaged in procurement activities at the CIIE, signing new cooperation agreements with 13 global suppliers [1] - The procurement scope for Baowu includes advanced low-carbon metallurgical equipment, high-quality raw materials such as iron ore, chromium ore, manganese ore, ferronickel, coal, and various metal materials [1]

费鹏表示，当下，宝武已迈上世界一流企业建设新台阶，致力于以绿色智慧钢铁，铸就美好未来，希望 携手全球合作伙伴，坚持走开放融通、价值共享之路，加快国际化发展步伐，更积极地优化海外布局、 参与国际化分工、提高全球资源配置能力，并为全球的新产品、新技术、新服务提供广阔、公平的市场 机遇和应用场景。持续拓展"高端化、智能化、绿色化、高效化"合作新空间，让全球优质资源要素在宝 武高效流动、价值倍增，转化为驱动增长的新质生产力。 作为首批14家重要采购商之一，宝武还首次参展"中央企业交易团采购商长廊"，通过全展期的驻点展 示，直观呈现宝武完善的全球供应链体系、"1+3+2"产业体系(钢铁制造业、绿色资源业、智慧服务业、 先进材料业、产业不动产和产业金融业)多元的采购需求以及广阔的应用场景。 11月8日，中国宝武钢铁集团有限公司(以下简称"中国宝武"或"宝武")在第八届进博会上举行国际采购集 中签约仪式，与10余家全球供应商伙伴完成了新一轮的采购合作签约。宝武与普锐特冶金技术、法孚 DMS公司、GFM、西马克、应达集团、欧亚资源、蒙古能源、阿联酋萨曼科铬公司等全球知名企业进 行采购签约，涵盖智能化低碳冶金装备、铁矿、铬矿、 ...

Core Insights - The reopening of the Simandou iron ore project in Guinea marks a significant shift in the global resource landscape, previously stalled for nearly 30 years under Rio Tinto's management [1][3][30] - Chinese companies have successfully taken over the project, overcoming logistical challenges that Western firms deemed insurmountable, thus changing the dynamics of iron ore production and trade [10][11][30] Group 1: Project Background - The Simandou iron ore deposit has a massive reserve of 3 billion tons with a high grade of 66%, yet it remained undeveloped due to geographical and political challenges [3][6] - Rio Tinto faced difficulties in advancing the project, leading to a perception of it as a "joke" in the industry, with seven CEOs failing to make progress from 2007 to 2022 [3][6][31] Group 2: Chinese Involvement - In late 2019, Chinese enterprises took over the project, forming alliances to construct a 650 km railway and deep-water port, investing $14 billion to make the project viable [10][13] - The construction of the railway, which included challenging tunnels, was completed in just six months, demonstrating China's capability to execute large-scale infrastructure projects efficiently [13][15] Group 3: Economic Implications - The commencement of operations at Simandou is expected to significantly impact global iron ore pricing and trade dynamics, with major Australian companies like BHP adapting to new pricing strategies involving the Chinese yuan [17][19] - The project is projected to boost Guinea's GDP by over 25% in the next decade, creating jobs and improving infrastructure along the railway [28][30] Group 4: Global Resource Strategy - The success of Simandou is seen as a model for China's approach to resource acquisition, emphasizing investment, infrastructure development, and local partnerships rather than exploitative practices [25][28] - This new paradigm is being replicated in other regions, including Africa and South America, as China seeks to establish a more equitable global resource order [28][30]

Core Insights - The first batch of 2 million tons of iron ore from the Simandou mine in Guinea is set to be shipped to China, marking a significant shift in the global steel industry [2] - This initial shipment is seen as a starting point that could reshape the global steel market and challenge the dominance of the three major mining companies [2] Group 1: Industry Dynamics - The three major mining companies, BHP, Rio Tinto, and Vale, have historically monopolized the global iron ore market, capturing a significant portion of the industry's profits [4] - China consumes 70% of the world's iron ore but has limited pricing power due to the dominance of these three companies [4] - The profit margins for these mining giants are exceedingly high, with costs around $10 per ton but selling prices reaching $130 per ton, resulting in a profit margin exceeding 90% [4][6] Group 2: Financial Disparities - In 2024, the net profit of the three mining giants is projected to reach 184 billion yuan, while China's steel industry collectively earns only 29 billion yuan, with less than 50% of steel companies making a profit [4][6] - The average profit per ton for Chinese steel production is only 29 yuan, compared to 184 yuan for the mining companies, highlighting a stark disparity in profitability [6] Group 3: Simandou Mine Significance - The Simandou mine is the largest and highest quality open-pit iron ore mine globally, with proven reserves of 4.41 billion tons and an expected annual output of 120 million tons [7] - The mine was previously controlled by Rio Tinto but was not developed for decades, as the company preferred to maintain high prices by limiting supply [9] - Chinese companies now control approximately 75% of the Simandou mine's production capacity, having successfully developed the mine and built a 600-kilometer railway to facilitate exports [11] Group 4: Market Impact - The 120 million tons of annual output from Simandou represents about 10% of China's iron ore imports, which could disrupt the pricing power of the three major mining companies [11] - The introduction of this new supply could lead to a breakdown of the existing pricing agreements among the mining giants, allowing China to regain pricing power [11] - Forecasts suggest that iron ore prices could decline by 15% to 20% over the next three years, potentially dropping to a range of $80 to $100 per ton [11] Group 5: Broader Economic Implications - The development of the Simandou mine is expected to benefit Guinea significantly, potentially making it the fourth-largest iron ore exporter globally and creating 50,000 direct jobs [13] - The project is anticipated to stimulate growth in logistics and equipment manufacturing sectors within Guinea [13] - The shift in the global iron ore market dynamics signifies a potential end to the historical exploitation of developing countries by Western mining giants [14]

Core Insights - The forum highlighted the achievements of the second batch of the Central Enterprises Brand Leadership Action, with China Baowu and nine other central enterprises recognized for their brand initiatives [1][2] - China Baowu emphasizes technological self-reliance and innovation as the foundation of its brand, positioning itself as a "breaker" in key areas and a "stabilizer" in the modern industrial chain [1][2] Group 1 - China Baowu is recognized for its commitment to technological innovation, focusing on overcoming material and technical challenges [1] - The company aims to provide stable, reliable, and high-quality steel materials to energize various downstream industries [1] - The company has been selected as part of the second batch of the Central Enterprises Brand Leadership Action, following Baosteel's recognition in the first batch [1] Group 2 - China Baowu is driving its brand's future through green and intelligent dual initiatives, aiming to lead the global steel industry's green transformation [2] - The company is committed to becoming a model for green development and a pioneer in smart manufacturing through the integration of steel and AI [2] - The company aspires to achieve satisfaction among shareholders, customers, and employees while being respected by society, embodying the principle of "three satisfactions and one respect" [2] Group 3 - Looking ahead, China Baowu aligns with the development directions of "intelligent, green, and integrated" as outlined in the 20th Central Committee's fourth plenary session [2] - The company plans to focus on "new stage, new strategy, new model" to deepen the brand leadership action among central enterprises [2] - China Baowu aims to establish a modern brand governance system and create world-class product and technology brands [2]

Market Overview - On November 7, the steel sector experienced a decline of 0.25%, with Linggang Co. leading the drop [1] - The Shanghai Composite Index closed at 3997.56, down 0.25%, while the Shenzhen Component Index closed at 13404.06, down 0.36% [1] Individual Stock Performance - Maanshan Iron & Steel Co. (600808) saw an increase of 2.44%, closing at 4.20, with a trading volume of 1.6126 million shares and a turnover of 670 million [1] - Shougang Co. (000959) increased by 2.04%, closing at 4.51, with a trading volume of 553,100 shares and a turnover of 247 million [1] - Linggang Co. (600231) decreased by 1.27%, closing at 2.34, with a trading volume of 429,600 shares and a turnover of 101 million [2] - Baosteel Co. (600019) decreased by 1.16%, closing at 7.65, with a trading volume of 855,900 shares and a turnover of 657 million [2] Capital Flow Analysis - The steel sector saw a net outflow of 238 million from main funds, while retail investors contributed a net inflow of 336 million [2] - The capital flow for individual stocks indicates that Hangang Co. (600126) had a net outflow of 54.38 million from main funds, while it experienced a net inflow of 49.95 million from retail investors [3] - Baosteel Co. (600019) had a net inflow of 18.47 million from main funds, but a net outflow of 4.69 million from retail investors [3]

Core Insights - Molybdenum iron, an alloy composed of 55%-75% molybdenum, is essential for producing stainless steel, heat-resistant steel, acid-resistant steel, and tool steel, with a density of 9.0g/cm³ to 9.5g/cm³ and a melting point around 2700°C [2][4] Production and Demand - In 2024, China's cumulative molybdenum iron production is projected to reach 217,700 tons, reflecting a year-on-year increase of 5.1%, with apparent demand at 217,600 tons [2] - From January to August 2025, cumulative production is expected to be 161,400 tons, a significant year-on-year growth of 13.8%, with apparent demand at 161,700 tons, indicating a balanced supply-demand scenario [2] - Major production regions in China include Liaoning, Henan, and Shaanxi [2] Price Trends - The price of 60% molybdenum iron in China surged from 98,600 CNY/ton in 2020 to 252,200 CNY/ton in 2023, driven by intensified supply-demand conflicts [2] - In 2024, prices are expected to remain high but decline compared to 2023 due to supply release and weakened downstream demand [2] Import and Export Dynamics - Between 2022 and 2024, molybdenum iron exports have been declining, while imports have been increasing, indicating a shift towards a stronger import market [2] - In 2024, molybdenum iron imports are projected at 7,963.5 tons, a substantial year-on-year increase of 61.0%, while exports are expected to be 8,122.9 tons, down 4.7% [2] - For January to August 2025, import and export volumes are anticipated to be 3,834.4 tons and 3,601.0 tons, respectively [2] Industry Outlook - The demand for molybdenum iron is expected to remain resilient, supported by the stainless steel and special steel sectors, as well as the upgrading of high-end manufacturing [2]