Global steel trade experienced a significant downturn in April 2026, with overall flows decreasing by 8% compared to the previous year. While China's share of global steel exports rose proportionally to 45% from a long-run average of 38%, the actual tonnage exported from China still fell by 4% to 10 million tonnes. Concurrently, steel flows originating from outside China saw an even sharper decline of 11%.
This negative growth in steel flows highlights a broader softening in global demand and ongoing market headwinds affecting the steel industry. The proportional increase in China's market share suggests that while overall demand is down, China is maintaining or slightly increasing its competitive position relative to other exporters, even as its absolute export volumes decrease.
For freight forwarders and dry bulk shippers, this trend signals reduced cargo volumes for steel products, potentially leading to lower freight rates and increased competition for available shipments in the dry bulk sector. The decline in flows from outside China further exacerbates this, indicating a widespread contraction in the steel trade that will affect vessel utilization and profitability for carriers specializing in bulk commodities. Forwarders should anticipate softer demand for vessel space for steel and related raw materials.
