China started to implement zero import tariffs on pig iron, crude steel, recycled steel raw materials, ferrochrome, and so forth from May 1. Meanwhile, the export tariffs on ferrosilicon, ferrochrome, and high-purity pig iron were raised.

According to the Customs Tariff Commission of the State Council, this move was conducive to reducing import costs and supporting the domestic reduction in crude steel production, and therefore to promote the transformation and upgrading of the steel industry and high-quality development.

The industry believed the steel industry is able to meet downstream demand. Even if the production restrictions bring a temporary gap in steel supply and demand, it will increase imports and adjust inventory.

The steel industry should first supply for China's domestic demand, and the international trade will be a role of supplement and adjustment.