Steel plate markets started May 2025 heading in different directions around the world. While US prices finally settled down after a bumpy April, both China and Germany saw prices dip slightly. China's market is drowning in too much supply while construction remains slow. In Germany, buyers are playing it safe and only buying what they absolutely need right now. Meanwhile, American steel plate prices have found their footing after dropping twice in April. These different price movements tell the story of each region's unique market challenges.

Key Takeaways:

• China's steel plate prices fell 1% as mills keep making too much while buildings aren't going up
• German buyers pushed steel plate prices down 0.7% by holding back on purchases
• US steel plate market finally caught its breath after prices dropped twice in April
• Chinese steel mills are running hot while Western producers have eased off
• Construction slowdowns are hurting steel plate demand pretty much everywhere

Steel plate prices dropped 1% in the first few days of May, which caused the Chinese market to contract. The Strong domestic production with daily crude steel output exceeded in April, and blast furnaces were operating at nearly 89% capacity—combined with weak building industry demand is what caused this decline. Prices are still impacted by the oversupply situation as producers attempt to move inventory, even though the Steel PMI improved to 50.6% in April.

Germany's steel plate prices decreased by 0.7%, suggesting that the market is being watchful. Despite experienced an increase in inquiries, where buyers restricted purchases as per the requirements, and moreover, the trading environment was complicated by the Carbon Border Adjustment Mechanism and uncertainty surrounding US tariffs. Finally, the attempts by German plate mills to increase prices in keeping with other steel products trends were mostly unsuccessful because customers were hesitant to commit to larger orders.

The US steel plate market stabilized after experiencing consistent last two weeks declines in late April.  In early May, prices were under pressure to decline due to new production capacities and increased competition. However, as lead times stabilized and buyer sentiment improved somewhat, a balance appeared in the market. While there are indications of recovery, the construction industry's difficulties, which showed year-over-year drop in April, continue to cloud demand.

As per ChemAnalyst, the steel plate prices will recover somewhat over the next few weeks, with a 1.0% increase in the US and a projected increase in China. On the other side, buyer caution may cause Germany's market to lag a little, but stabilization in the construction activity may help. Improved construction activity, lower production levels in oversupplied regions, and more clarity on trade policies will be crucial variables to track through mid-2025 for a significant recovery in the global steel plate markets.