Steel rebar futures in China fell to around CNY 3,010 per tonne, reaching their lowest level since October 2025. The decline highlights growing pressure on the Chinese steel market as weak construction demand, widening mill losses and the prolonged property downturn weigh on industry sentiment.

Average losses at steel mills in Tangshan have reportedly exceeded CNY 100 per tonne, with profitability expected to remain under pressure in the coming month. This has increased concerns about production margins and the near-term outlook for steel output.

China’s construction sector accounts for approximately one-third of the country’s steel consumption and remains the largest consumer of rebar. Continued weakness in real estate and infrastructure activity has therefore reduced demand for long steel products.Market participants are also monitoring policy developments in Beijing. Expectations for major new stimulus measures remain limited, with authorities likely to focus on implementing existing fiscal policies.Soft demand, weak mill profitability and cautious economic expectations could keep Chinese steel and rebar prices under pressure in the near term.