The North China region is a large area of hot rolled coil production in China, and East China is a large consumption area.
The North China region is the largest production area of hot-rolled coil in China. According to the data released by the State Bureau of Calculation, the output value of hot-rolled coil sheet in China in 2013 was 182.77 million tons, and the output value of North China was 74.19 million tons, accounting for 40.6% of the domestic output value, and that of East China was 48.836 million tons, accounting for 26.7% of the domestic output value, and that of Northeast China was 26.733 million tons, accounting for 14.6% of the domestic output value. The central and southern, southwest and northwest regional output accounts for 10.6%, 5.2% and 2.2% of domestic output respectively.
From the perspective of consumption area, East China is also a large consumption area of hot-rolled coil in China. According to the data of the China Steel Association, the hot-rolled coil sheets of iron and steel enterprises should be 16.674 million tons from January to November 2013. During this period, 42.223 million tons of hot-rolled coil sheets were flowed to East China, accounting for 36.2% of the calculated amount. This is a large consumption area of hot-rolled coil sheets in China. Flow to North China region of 31.339 million tons, accounting for 26.8% of the calculation, is China's second largest hot-rolled coil consumption area.
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In recent years, the direct supply share of hot-rolled coil sheet in China has gradually increased, and the share sold through the circulation market has declined. According to the data calculated by the China Steel Association, the direct supply share of hot rolled coil sheet in January-November 2013 was 38.2%, 21.5 percentage points higher than that in 2005, and the circulation share dropped from 60.3% in 2005 to 43.8%. The main reason for the increase of direct supply share is the relatively high concentration of hot rolled coil sheet. Large steel plants such as Baosteel, Angang and WISCO are all making progress in direct supply share.