In May, the general demand of the Chinese steel market performed quite well. Although the market demand fell slightly due to holidays like the International Labour Day and the Dragon Boat Festival, the decline was considered to be limited. 

While the Chinese government cut both the required reserve ratio and interest rates, these macroeconomic policies did not affect the market much. 

Looking ahead to June, the two most important exams for Chinese students, Zhongkao and Gaokao, along with the high temperature and the coming wet season, could possibly inhibit the local steel demand. It is estimated that in June, the consumption of construction materials will decrease by 3% compared to the previous month.