China’s Steel Industry Warns of Awful Year for Profits

Chinese steelmakers are preparing for another awfulyear as demand peaks and rising costs eat into profits.

About half of the nation’s mills could be lossmaking in 2024, Zhang Qiusheng, chief analyst at Nanjing Iron & Steel Co., said at Mysteel Global’s annual gathering on Saturday.

Zhang’s bearish prediction, one of several at the conference, suggests no let up for an industry that has already endured two years of collapsing margins, a consequence of a protracted crisis in the property market that accounts for about 40% of the nation’s steel demand. At the same time, input costs — particularly for ...