Nation’s top steel mills warn on outlook

The good times in the world’s top steel producer may not last long. China’s biggest mills, including Hesteel Co Ltd, are warning that the improved conditions and rising prices in the first half that helped them to lift earnings may soon be about to give way. “Industry prospects are not optimistic,” Hesteel, the listed unit of China’s biggest mill by output, said late on Tuesday as it reported its best six months since 2011. While the market had gained some momentum in the half, helped by a factors including low inventories, the sector is still on a downward trend and demand didn’t rebound significantly, it said.