OPERATION

Globally, the steel sector has madegood adjustments, production of iron ore increased by 8% from 2022 to anaverage of around 150 million tons per month worldwide. The demand for steel ispredicted to rise to 1,874 million tons globally in 2023, driven mostly byChina. Approximately 55% of the world's steel is produced and used worldwide.China have to import around 18.3 million tons of steel goods from other nationsin 2022—a six-fold increase over the previous year. Hot rolled steel (9.9million tons), cold rolled steel (3.8 million tons), and coated steel plate (2.4million tons) are China's top three imports of steel goods. This causes ashortage of steel products on the global market, which drives up prices forChina's purchases of them. China's demand for steel climbed by 52% in the firstquarter of 2022 compared to the same period the previous year, and it isanticipated that China will require 1,025 million tons of steel total for theyear. Due to China's earlier this year investment, the GDP in 2021 should reach8.2% to 9.5%. The manufacture of automobiles climbed by 89.9% to 1.93 millionunits on a monthly average; investments in downstream sectors increased by34.1%, and 38.3% went toward the construction of urban real estate. The cost ofsteel has increased to all-time highs globally.