Sou Hu Cai Jing·2025-07-15 12:58Group 1 - The steel industry has shown significant improvement in profitability in the first half of the year due to falling raw material costs and cost-cutting measures [2][4][5] - Despite the overall recovery in performance, the steel sector experienced a collective pullback in stock prices on July 15, with notable declines in companies such as China Iron Titanium and Chongqing Steel [2][4] - A total of 24 A-share steel companies have released mid-year performance forecasts for 2025, with 19 reporting substantial profit improvements, including several companies achieving double or triple-digit profit growth [4][5] Group 2 - The steel industry faces challenges from a sluggish real estate market, limited infrastructure investment, and increased export pressure, leading to a significant decline in steel prices and ongoing profitability pressure [4][6] - Companies are addressing demand contraction by eliminating outdated production capacity, optimizing product structures, and enhancing product value, which has contributed to profit recovery [5][6] - The current supply-demand dynamics in the steel industry are improving, with major steel companies announcing production cuts under the "anti-involution" policy, which is expected to strengthen supply contraction [6]