Aug. 11 (Bloomberg) -- Crude steel production in China, the world’s biggest maker, jumped 13 percent last month to a record as the nation’s $586 billion stimulus package spurred demand from builders and carmakers.
Output rose to 50.7 million metric tons in July, the National Bureau of Statistics said today at a briefing in Beijing. That’s the third consecutive record monthly high, according to Bloomberg data.
Benchmark Chinese steel prices have soared 30 percent since April, and Baosteel Group Corp. can’t meet “explosive” demand, JPMorgan Chase & Co. said. The steel revival has hampered China’s ability to bargain down iron ore prices paid to Rio Tinto Group, Vale SA and BHP Billiton Ltd., and suggests imports of the raw material will keep rising.
Steel production rose 2.9 percent to 317 million tons in the first seven months from a year ago, the statistics bureau said.
China’s steel output may exceed 500 million tons this year, the China Iron and Steel Association said July 31, beating an earlier projection of 460 million tons.