China's ferrous metal smelting and rolling industry returned to profitability during the first five months of 2026, recording a gross profit of RMB 18.17 billion, according to the latest data released by the National Bureau of Statistics (NBS). The improvement follows a gross profit of RMB 7.58 billion in the January-April period and a loss of RMB 3.34 billion in the first quarter, indicating a gradual recovery in the country's steel sector.

During the same period, China's ferrous metals mining and dressing sector generated a gross profit of RMB 19.53 billion, up 22.8% year on year, while the metal products manufacturing sector reported RMB 46.58 billion, an increase of 9.8% compared to the same period last year.

Overall, industrial enterprises above designated size in China posted total profits of RMB 3.14 trillion in January-May 2026, representing an 18.8% year-on-year increase. The recovery was mainly supported by stronger manufacturing activity and improved profitability across several upstream industries.

The latest figures suggest that China's steel industry continues to recover from earlier losses, although profitability remains relatively modest compared with historical levels amid ongoing market adjustments and changing demand conditions.

VietnamSteel by Hoa Sen Group