China’s expanding steel exports are intensifying competition among suppliers as infrastructure investment supports demand in Africa, according to Alkagesta Media. The company outlet described those trends as central to the strategy of Alkavex, Alkagesta’s steel trading business, while identifying trade restrictions, price swings and shipping disruption as risks for the coming six to twelve months.
Citing the OECD’s Steel Outlook 2026, the report said Chinese steel exports increased by 13.8% in 2025 to a record 131.2 million tonnes. That contrasted with a 6.2% decline in global steel exports excluding intra-regional trade. China’s share of worldwide steel exports reached 41%, compared with 19% in 2019. Alkavex deputy chief executive Nijat Osmanli said Chinese supplies frequently serve as a benchmark for buyers, putting pressure on competing producers’ prices and margins.
African demand offers a counterweight to that competitive pressure. Alkagesta Media cited Worldsteel’s April 2026 outlook, which forecasts growth in the continent’s steel demand of 3.8% in 2026 and 4.6% in 2027. Separately, OECD estimates put growth at 16.1% in 2025, slowing to 4.4% in 2026 as investment cycles mature. Alkavex chief executive Jean-Pierre Artigala linked the company’s African focus to urbanisation and investment in housing, transport and industry.
The outlet identified wire rods, beams, hot-rolled coil, tubes and merchant bars among Alkavex’s strongest-selling products in 2026, alongside grinding balls used by the mining industry. It also reported expansion into South America supported by access to Chinese-origin material. Alkagesta’s petroleum trading relationships in Türkiye and Eastern Europe were presented as a source of market knowledge and established counterparties for the steel business.
Costs and shipping remain sources of uncertainty. According to the report, a fatal mining accident in Shanxi led to the suspension of 155 coal mines for inspections, helping lift coking coal futures to a 19-month high in early June. Seasonal weakness nevertheless kept steel prices under pressure. The outlet also said a weekend of disruption through the Strait of Hormuz affected steel prices and freight rates.
Alkavex’s executives argued that winning business depends on more than competitive pricing. Osmanli highlighted financing, specifications, documentation and shipment coordination, while chief financial officer Sylvain Artigala stressed transaction-level risk assessment. The report described one order in which vessel availability and delivery timing, rather than a lower price, proved decisive in meeting a customer’s project deadline.
Read the original announcement on Alkagesta.