In 2020, China's steel production and steel consumption reached a new high, and it is expected that API 5L X42 pipe and so on steel demand will increase slightly in 2021. But at the same time, the iron and steel industry is also facing challenges such as the rapid rise in the price of imported iron ore and the increasing pressure of low-carbon development.

In 2020, API 5L X42 pipe and so on steel production remained stable and output continued to grow. The annual output of crude steel was 1.053 billion tons, up 5.2% year on year. The downstream industry recovered rapidly and steel consumption reached a new high. In 2020, the apparent consumption of crude steel in China increased by 9% year on year, and the actual consumption of API 5L X42 pipe etc. steel increased by about 7% year on year.

In addition, API 5L X42 pipe prices gradually rose in 2020, and the overall level of the whole year dropped year on year. The benefit of the steel enterprise continued to recover and the profit increased slightly. The industry adheres to green development, energetically saves energy and reduces emissions. It is estimated that API 5L X42 pipe demand is expected to increase slightly in 2021.